Also... If you want dramatic enhancements on your home stereo system, please consider buying a cable which plugs into the bottom connector of the ipod (and not the 3.5mm cable connector). In order to get any quality out of the iPod that way you need to have the volume at the max, which can tend to drain the battery faster.
If you have a cable that uses the iPod connector (via Griffin Technologies, or Apple Dock with supplied cables, or other 3rd party). You will have an amazing and different field of sound quality.
The 3.5mm connector does ok for most headphones, as your ears and headsets can't quite produce what a stereo system can. But the dock connector on the bottom will ACT like Dolby digital sound quality in movies... Please note the word ACT, because it is not really the case and wanted to use it as a reference point...
Don't spend alot, but those cables will help with quality.... And actually griffin if ordered online looks like they have a deal going on... Otherwise you can find this at your local best buy or walmart
http://www.griffintechnology.com/products/stereoconnect