yes it will work, and yes you will definitely notice an all around performance difference.
my truck is similar to yours, 2005, reg cab, 2.3 5sp manual, 3.73 gears.
I have 301,350 miles on mine, had it since new, been thru lots of tires ranging from the stock 225/70-15, 235/75-15, and 245/70-16.
my experiences are 100% on road, though not always paved.
the bigger the tire the harder it is to slip the clutch, you will notice a big difference starting in traffic.
bigger tires of course mean slower acceleration, with a 2.3 you aren't racing so no big deal.
bigger tires mean your brakes will have less leverage, your truck is quite light and you will get used to the different brake feel. it will still stop ok.
cornering will decrease some, but again these aren't race trucks.
5th at hiway speeds is fine, it will still hold speed on moderate hills.
you will be far more aware of strong head winds and steep hills.
tire type will make a big difference, the luggier the worser on pavement. off road who cares.
with as light as these trucks are, there is a definite difference when going to larger and heavier wheels & tires with regards to rebound.
again, talking about on road ride, the bigger wheels tend to push the truck around.
for off road not much of this will matter.
for commuting I found the 235/75-15 General AT2 to be quite acceptable.
the Goodyear triple treads in 245/70-16 were too much tire for on road, they bounced and pushed the truck around a lot. didn't like 'em.
Perry