Huge second for Hemple, esp. "In the Cemetery Where Al Jolson Is Buried"
Also huge second for Atwood in general, but esp. Cat's Eye
I'm mainly a short story person, so I'll add:
Alice Munro
Lorrie Moore
John Cheever (older--50s, 60s--but unmissable)
Raymond Carver
Tim O'Brien, The Things They Carried
Deborah Eisenberg
Barbara Gowdy (mostly novels, but her stories are wonderful, too)
I'll also second Russell Banks, though I've read less of him.
David Foster Wallace? While I recognize his brilliance, I'm not a fan. Same goes for Updike. Great writers; not my cup of tea.
ETA: Joy Williams and, though older, James Baldwin (how could I have forgotten him?!)