Companies pretty much look for the 4 year college degree. The higher the degree the better the pay. Some companies won't hire you without experience, which could lead to a catch-22 for some of you new guys.
I have a 4 year college degree, yet I'm taking classes for MCSD certification starting in June of this year. My employer lets me travel for training, so I figure I may as well get a certification out of the deal.
I chose MCSD, because with MCSD, you are basically working on getting your MCAD concurrently. Look here for the comparisons:
http://www.microsoft.com/learning/mcp/mcad/compare.asp