Jiraiya. I could post some sort of altruistic reasoning for him being my favorite like "he was such a pacifist" or "he always wanted peace just like Gandhi abloobloobloo" but honestly he's my favorite because he's funny and ******** ripped for a 50 year old. (unf) Also he likes toads.
Sakura is a close second because she's essentially a time capsule. Everything I loved about the original series is still present in her. She's pretty much become pre-shippuden Naruto, getting the best out of men and monsters by quick thinking and the skin of her teeth.