Hi Heather!
Thank you for sending in your question to the Walt Disney World Moms Panel. Unfortunately, there's no single answer for best resort and definitely no easy answer regarding the various Disney Dining Plans. However, I'll provide some recommendations.
With regards to the resort, with young children, you will probably be spending a lot of time in the Magic Kingdom. Thus I recommend staying in a Magic Kingdom Resort:
- The Grand Floridian
- The Polynesian
- The Contemporary and Bay Lake Tower
- The Wilderness Lodge
- Fort Wilderness
All except the Wilderness Lodge and Fort Wilderness are on the Magic Kingdom monorail line, providing very easy access to the Magic Kingdom, and access to Epcot as well via a monorail transfer at the Transportation and Ticket Center. The Polynesian is the most romantic, but the Contemporary is a lot of fun and within walking distance of the Magic Kingdom. The Wilderness Lodge is my personal favorite resort, but you have to take a boat to and from the Magic Kingdom and buses everywhere else.
With regards to the Disney Dining Plan, there's no easy answer. It really depends on how your family likes to dine. I recommend visiting the independent website AllEars.Net. There you will find the menu, including prices, of every Table Service and Quick Service restaurant in Walt Disney World. Knowing the prices can help you make a good decision.
To make an Advanced Dining Reservation, which is basically a necessity these days, you should call (407) WDW-DINE up to 180 days in advance; reservations can also be made on line. You definitely need to make a reservation for the very popular character meals!
I hope this helps! Write back with more questions!