Commuter bike setup: panniers, trunk bag, milk crate?

[CyclaSutra]

Hey, chickadees,

I'd love to hear your opinions on the optimal commuter bike cargo setup.

Does anyone use a trunk bag? Front basket? Milk crate? panniers that work well on a small size frame mountain bike?

I'm converting my old aluminum Trek 8500 to a commuter. I will be adding slicks, lights, fenders and some sort of cargo system. I want to be able to lug home a few groceries (just enough for dinner for two) or other purchases, and have room for work clothes/shoes/lunch.

It's 10-14 miles each way to work (depending on route). The shorter route is about a third rough gravel road, the long route is all paved along the busyish highway. So because of the rough road, I'm not swapping out the old compression fork (It still travels about an inch, tee hee).