dcparks is right, you can store tons of stuff in there. I have one too, my little wifey got it for me for father's day (from the kiddies).
The best thing is that if you need to run into the store for a few items or into the office for work that you can just grab it and toss it in the trunk and leave the top down. No valuables in sight. It is awesome.
As far as the iPod goes, i like it best tucked in the leather boot on the right side of the gear shift. it is so slim that it is a perfect fit there and I don't have to fiddle with getting into the saddlebag to change/view songs. And the passenger has access to it too that way. It doesn't get in the way and I can fwd/rev through songs without taking my eyes off the road or hand far from the gear shift.