http://www.flickr.com/photos/lwade/sets/72157622198788773/
It has taken a couple years to get everything sorted out but now I'm happy with the short 4" lift (and so is my short wife).
The 10.50 tires tuck into the wheel wells without rubbing.
The fenders have been trimmed and the flares raised. The inside of the front fenders have been massaged for clearance.
I use zip-ties, on the shocks, to measure travel and adjust the bump-stops accordingly to get the maximum up-travel without bottoming.
The long polyurethane bumps really help eliminate hard hits.
A lot of other things have been done but these are the basic specs.
4' lift with 33 X 10.50 KOs. Stock rims (7" wide- 5.25" BS) with 1.25" spacers (4" effective BS- 4 1/2" BS would work too).
Front suspension- dropped brackets, OME 935 coils (needed for the weight of the winch), ARCO, 10" 5150 shocks- lowered bottom mounts
Prothane coil bump-stops, swaybar disconnects.
5 1/2" up-travel and 4 1/2" down
Rear suspension- 6-leaf bastard pack with plastic liners, 2" longer shackles, 2" lowered front leaf spring mounts, raised axle shock mounts, 8 1/2" OME rear shocks (to be replaced with 7100 10" short-body).
4" poly bumps (narrowed)
4 1/2" up-travel and 4" down.
With the front dropped brackets in the front end and the lowered rear spring mount and shackles, close to stock suspension geometry has been retained, smoothing the ride.
The full-length plastic leaf-spring liners are a great addition, also adding to a smoother ride.
Most of my friends have lifted TJs and anyone who has ridden in them say the XJ has a superior ride on rough trails.