Pam, I don't use a video capture device because I have a set of the DVDs. If you have a set of the DVDs, you won't need to worry about capturing video from VHS - you'll be able to pop the DVDs directly into the DVD player that is a part of your new PC. However, you will need to convert the DVD episodes into usable format, which does require conversion software. And to that end, I recommend you get a PC with a LOT of memory - each converted episode is well over 125 mbs. so they start to gobble up the memory very quickly.
I use Movie Maker 2 software which comes free with Windows XP. It works great for me - does everything that I need for it to do, but it isn't fancy by any means. Honestly - it is a good way to start out - kind of like training wheels on a two-wheel bike <g>.
Once you get your new equipment, let us know and we'll start throwing out tips to get you going.
Good luck!
Lynn