Selecting higher bit rates when ripping digital music files gives you better sound quality. The trade-off, as we've discussed, is that the files are bigger, and fewer of them will fit on whatever storage medium you choose - an iPod® or other MP3 player, your computer, an external hard drive, a USB thumb drive, or a disc.

Not worried about running out of storage space? Terrific. But before you rip your entire music library as lossless files, there's one other issue you need to consider. If you plan to play the files on your car stereo, check to see which file formats and bit rates your car stereo can handle.

Some newer Alpine and Kenwood stereos with high-speed USB inputs can play Apple lossless files (when played from an iPod that's connected via USB). However, those same stereos cannot play lossless files from a USB thumb drive or home-burned CD.

The bit rate limit for MP3 files in many car stereos is 192 kbps, and some go as high as 320 kbps. The same holds true for WMA and AAC files, but there are exceptions. When shopping for a new car stereo on Crutchfield.com, you can look for this information under the "hands-on research" tab. If you're wondering about the limits for your current stereo, check the owner's manual.

If you're determined to go lossless, and you're not an iPod owner, there are a few stereos, such as Pioneer's DEH-P5100UB, that will play uncompressed WAV files from a disc or USB drive.

If you have lossless files on an iPod, but you don't have one of the newer stereos that can decode them, not to worry. Just connect your iPod's headphone output to your car stereo's aux input. The format decoding and digital-to-analog conversion will take place inside your iPod.