I run WPA2-AES, but I'm not very good at explaining it, so I borrowed this...
WPA2-AES is currently the strongest and most secure encryption you can readily get on the consumer level. Realizing the flaws of the previous two protocols, network engineers went back to the drawing board, developing a secure protocol from the ground up. If this is an option, then definitely use it. Another option I sometimes see is WPA2-AES+TKIP — this is for backwards compatibility, mixing support for both WPA-TKIP and WPA2-AES. If you have to support legacy WPA-TKIP hardware, then this is an option; just be aware that you’ll be allowing all the vulnerabilities of WPA-TKIP onto your network. You’ve been warned.