Hi Dawn!
Based on what you're looking for, I would suggest staying at the
Contemporary. This resort is located on the monorail line and is home to
Chef Mickey's where you can enjoy breakfast with Mickey and his friends. Out of the three resorts located on the monorail line, the Contemporary is the most economical choice.
Whether or not you will want to book a package will depend on if you already have tickets or annual passes and if you're interested in taking advantage of one of the dining plans. Booking a package is a convenient way to bundle your hotel accommodations with your park tickets and a dining plan. You can choose which features you'd like - such as park hopping or water park tickets and customize the package to fit your family.
In order to get the dining plan, you do have to book a package with at least a one day base ticket to the parks. If you are planning your trip for this holiday season, check out the
Special Offers page on the Disney website to see what specials are currently being offered. There are some great offers out right now including room discounts and free dining for certain dates through the end of the year.
I hope this helps! Have fun planning your vacation!