If you're photographing babies a good investment is a camera which has a continuous feature that allows you to take several images one straight after the other. It's very difficult to get those first smiles otherwise! I've got a Nikon Digital SLR camera which I bought on Amazon
and it's great (but expensive!).
With a digital camera you compose the picture by looking at the LCD screen rather than through the viewfinder, this means that your face isn't hidden by the camera from the baby. Photos taken at the babys eye-level, with simple backgrounds, tend to work the best.
When I've got my digital photos I use Picassa, which is part of Google pack, to organise them. This software is free. It allows you to crop photos, remove red eye and sharpen photos, as well as helping you organise photos within folders.
Finally I use Bonusprint to get my photos printed. The service is fast and efficient, the only thing I do find is a problem is the length of time it takes to upload my photos to them. Bonusprint can also make christmas cards from your photos and many other gift items. You should have seen our last years christmas card with our grandson dressed up as Santa Claus.