you can record straight to your computer for about 5 dollars
all you have to do is go on a file sharing program like kazza or something and pirate a recodring program(i use cool edit pro 2).........then you plug you guitar straight into the mic input on your computer with a 1/4" to 1/8" adapter(bout 5 bucks at radioshack). make sure the volume knob on your guitar is extremely low or it will sound distorted.......you can up the volume with the program.
thats how i do it..............dont expect to have the best sound but it will work fine.