Ok first I will say go here
http://www.kennedyspacecenter.com/launches/scheduleStatus.asp at the bottom of the page there is a link to Sign up for Launch updates. Closer to the launch date, they will email you all the information you are looking for. You will get an email that tells you when the tickets will be on sale, how much they are, etc. etc... we have been out for 4 launches so far and always use the "armchair astronaut" emails to plan them out.
Ok, the BEST place to see a launch in my opinion is from the NASA Causeway. With this package you get all day access to the Visitors Complex and then they bus you over to the causeway for the launch. On the causeway they have covered seating areas (even though they will tell you they do not...it encourages people to bring their own chairs, which many do), vendor and they have live feed to Mission Control. With this package they will tell you what time you have to be at the Visitor Complex (which is usually VERY early...) they do this to stagger the entrance so the traffic does not back up. I think we paid something like $50 or so per person for this.
They also offer viewing from the Visitor Complex, which is also very good, but you can't see the shuttle until it has cleared the tree line (unlike the causeway where you can see it on the launch pad). I am not sure the cost of that, but it is less than the causeway. They have the viewing from the Hall of Fame, which I have never personally done, but I have friends that will "never do it again", and that was good enough for me.
As far as places to go that are not on NASA property. The best place is Spaceview park.
http://www.nbbd.com/godo/spaceviewpark/index.html I have not personally been here either, but many DISer's have and rave about it. You can see the launch pads from here too, although further away than being at NASA. The parking is free, there is no admission fee and they have a nice park, memorials, restrooms, etc (they also have live feed to Mission Control). Jetty park is another place to see a launch from, given the option I would go to Spaceview park over Jetty Park, but it is another place to think of. We saw a launch from Jetty before and it was impressive because we had never been that close but now that we have been on the NASA causeway we know better. Here is a link to the locations that NASA suggests if you are not able to get tickets for their viewing areas.
http://www.nasa.gov/centers/kennedy/about/view/view_shuttle.html
Also look at this page it is a fellow DISer's page BPCooper he is a wealth of Shuttle knowledge if you have more questions...
http://www.launchphotography.com/Shuttle_Launch_Viewing.html
It takes about 45 minutes to get out to the Cape so I would give yourself about 2 hours (unless you get the NASA tickets and then they will tell you when to be there). The traffic going out is not usually too bad until right around launch time... but be prepared to have up to 4 hours on the ride home (it took us 4 hours to come back from Discovery).
And one more link for you...
http://disboards.com/showthread.php?t=1459936 this is a thread about viewing the latest launch. It has some good info too!
Here is a photo montage that my husband put together of some of the photos we took from the NASA causeway... Enjoy, have fun... it is an AMAZING experience! Hubby has a good camera so this is closer than the naked eye, you are about 6 miles away, so you can see the shuttle on the pad, it is just not "this" defined... just FYI!