The only devices that I've seen that still don't support WPA2 are handheld gaming consoles, like the Nintendo DS or the PSP. If your router supports it, go WPA2/AES.
Once you've updated your drivers, I recommend going into the Network and Sharing Centre, Manage Wireless Networks, and deleting all listed networks. After doing that, click on the "Connect" button in the N&SC, select your network from the list, and enter your passphrase. You shouldn't have to go into any advanced settings or properties windows to get this to work.