Don’t forget to periodically archive your files onto some kind of hard media, such as DVD, then store those archives somewhere besides your house. This is in addition to your backup. You’ll probably never need the archives, but if a catastrophe strikes, you’ll be glad you made them.
I backup to a 2 TB disk on a ProFTPD NAS attached to my router which is then backed up to tape on my server. I’ve got my bases covered.
With 50 GB BDRs (BluRay Disks) available out there, you’re right, there’s no reason not to back up to media.