I use a three part backup myself with NTBackup.
First, I run an ASR. If the system ever truly dies this will get you running again quickly (it combines setup and restore in one step).
Second, I run a scheduled system state backup
Third, I run a scheduled full backup of everything else.
Step 1 is a one shot thing. Steps 2 & 3 I schedule and forget.
On a single system with a backup device attached (drive, tape) you will have a hard time finding a reason to pay for any improved system. NTBackup is perfect for this stuff. Really checkout ASR. If you are using XP or 2003 without it you are really missing a big feature.