I've just got gear to perform the same exercise. I didn't go for a computer based system but upgraded my audio system. The records are recorded analog onto minidisc, and can be edited at this stage, (You can make your own compilation, get rid of that track you always hated etc). You can then make optical digital recordings on to a recordable CD player using CDR(audio).
Not a cheep option, but worth the investment, the results are great.
love, john.