I love my 4 banger YJ, and I'm trying to get her ready for the  south Texas hunting season this fall(in addition to year round wheelin). Recently I stumbled onto good deal including a dana 44(4.11), dana 60(4.11) and np205 from a 78-79 f-250, all for $500. First off, is this overkill for a 4 cylinder? If not, i am wondering what sorts of other mods will be required to make these upgrades mate to my jeep(brakes,driveshafts,relocating spring perches,etc.)? How big a project am I looking at here?  

how big are your tires?
you'll need new gears before you need the added strength. my guess is by 33"

If you do swap in the axles, you might as well swap in a V8 at the same time.

your going to need a new master cylinder, spring perches, drive shafts (or mod em), track bar, wheels, steering linkages, and an adapter if you need to attach the 205.

More hp and torque from a bigger engine would be great, but i'm on a budget right now, so my focus is concentrated on upgrading the major weak spots on my rig like the notorious dana 35. Besides i'm pretty handy with a 4 banger on the trails, and i just put in some headers and exhaust this week which helps a little. As for tires I currently run 31 X 10.50 BFG muds, and don't plan on going any bigger than 32-33 X 12.50's once the money is right for a new suspension. Do you think I should consider a Gm 14 bolt or ford 8.8 for the rear instead, and what gear ratio would you recommend? I will be seeing some pretty heavy wilderness and some long distances on the highway too, so am I being too demanding of my rig or is there a setup that will meet my needs? Any advice would be greatly appreciated.

If you are serious about only running 33's, then you really dont need the beef of a dana 60 or 14 bolt.  Those axles are for the guys running really big meats.  For 33's, I would source a 8.8 out of a explorer, because it is better then the dana 35, comes in 4.10 gears, and has a limited slip.  Good way to start with 31" tires.  As for gearing i would say that 4.56's are the right gear.   

Thanks for the useful input man.  By the way, does anyone have any feedback(positive or negative) concerning 2 - 3.5" suspensions for a 95 YJ? They all sound good in their own advertisements, but are some more durable/flexible/reliable than others? I'm tied between Rancho, Black Diamond and Fabtech, but I'm relatively new to wheeling so any feedback would be greatly appreciated.  

All three companies are excelent systems.  Rubicon Express is another good lift.  Superlifts are horrible.  Buddy of mine is always having problems with his 4" lift by Superlift.  

I put a Skyjacker 2.5" in my '89 13 years ago.  One of my major criteria was that the springs had to be made in the USA.  Most of the others were made with non-American steel.  It's still working fine.  The most important thing to do, lift or no, is a sway bar disconnect!  Don't leave home without it!  It's been my experience that articulation is more important than lift.