Have you looked at the Neuros yet? It's cheaper than an Ipod and I think it's a LOT nicer. The 20 gig model is $250. You can also use it as a portable hard drive if you need to, it has an FM tuner built in, an internal microphone to record voice memos, rechargable 10 hour battery, and comes with the car cord, the AC cord, and earphones.
Pretty sweet little toy.
http://www.neurosaudio.com/store/pro...t%5Fid=4010301