What you need:
1st-
2nd-
WMA to AVI Converter
------> Download Here
Steps:
1.) Find a song on Playlist.com, imeem.com, etc.
2.) On your PC, go to the start menu->all programs->audio recorder.
3.) Plug your chord into the mic plug in and headphone plug in.
4.) Hit Start Recording in the program Audio Recorder.
5.) Then start the song and wait till the song finishes and save it.
6.) Open WMA to AVI converter and select the file you want.
7.) Put in the info you want and then click start converting.
8.) Copy the MP3 to your MP3 player.
9.) Go on your MP3 player and listen to your awesome new song!
Here are some songs I've recorded with this method:
http://www.megaupload.com/?d=GIPJYXBC
Pretty Good Quality, Eh?