Brian Keller explains how to do it right here. It's well worth the read. Brian also asks us to give it a spin here I might just do that.
WSS v2 has a few limitation that v3 overcomes and we get a lot of new features to boot like a wiki and a better discussion webpart.
Now don't forget that "Orcas" will support WSS v3 out-of-the-box so if you feel a bit nervous about the steps that need to be done for this to work in TFS v1 than you can always wait a bit for "Orcas".
Cheers,
ET