The Waterwheel, on Route 59 near Shoprite, is a classic family spot. Very good food, very large quantities, and a very relaxed atmosphere all contribute to its success. My personal favorite dish is the chicken parmigina, but my dining partners have enjoyed a wide array of dishes.
In addition, the Waterwheel makes some of the best pancakes in the area. Thin and tasty, they fill you up but don't overwhelm. HIGHLY reccomended for couples and families alike.