i use a linksys wrt54g ver.7.0. thats whats available in india now (tho u get ver.8.0 is US etc.). i find this router pretty fine. it retails for about 2.7k here and does a great job for me. plus if u are of the hacking kind then u can flash it wid a custom firmware (there are many availalbe wid more features, which u may not need for a basic setup).
secondly, the most widely available desktop wlan pci card is the dlink g510 here. cost me about 1k. i'm pretty happy wid both their performances
for configuring it, jus follow this guide
no need of anything extra!