I use Type 3, but then again, I do "3D" stuff. You might want to shop around for software. You want to consider what type of work you want to do with your router first. And get the appropriate software. I know there are a lot of shareware type applications out there, so you don't have to spend a lot of money for software.
On the other hand, if you know illustrator, your halfway there. I do all my layouts in Illy, save my files as .eps and import them in Type 3. Illy can export in dxf and dwg , wich are standard "cad" files that can be open by all cad or cam software.
As for programming itself, the process usually consist of associating an operation (cut, pocket, drill...) to a vector path (be it from autocad or illy) with a particular tool with associated feeds & speeds.
It gets a bit more complicated with 3D stuff.