Hi everyone! I've been reading your postings on a (at least) daily basis since deciding to go to Thailand and Cambodia a few weeks ago. All of your valuable input is really appreciated (can't wait to get custom made jeans in BKK!), and has made a huge impact on planning our 16 day trip at the end of January.
Still having trouble with one area, though... Phuket. I've heard that the islands around Phuket (Phi Phi, etc) are great... we'll have 4 days there total. Any recommendations? As I am a resident (medical, that is), our budgets are a little tight and we are aiming at the less than $100/night range for hotels.
This is our first trip to Thailand.
Thanks so much!

btw... JamesA, thanks for the great advice so far...(didn't see the earlier posting when I wrote this message)
as for us, we are in our early 30's;love good food and new experiences and are open to just about everything. thanks again!

End of January is still right in the peak season, your USD 100 a night should be ok though many of even the mid range places are well over that in January.
Note than many rates drop from mid january so that is certainly a better time straight off to go.

USD 96 would get you a deluxe seaview at the kamala beach Hotel, though there are cheaper rooms from about USD 75. What this has going for it is beach location, plus Kamala still has swaying palm trees, cheap places to eat and some bars, and then perhaps just over 15 mins over the hills along the coast into patong in the evening, if you wanted. You are also closew to Phuket Fantasea if you wanted to see that show.

Many ( many!) of the hotels on Phuket are 'not' on the beach, and those that are are almost entirely a higher price and/or more remote location, I think Kamala beach for the under USD 100 at that time is a very good deal.

There are place sta kata beach but you won't be 'on the beach' and it means a walk to the beach.
Phi Phi was 'fantasic' many years back and I guess if yuo never knew it 'before' then you won't know how much it changed, used to be very idyllic and I guess for many it still is, but more deleloped in the main area that suffered the main impact of the Tsunami but that was getting so built up anyway.
There are quite a few smaller islands and some like Koh Yao do have amazing truly idlyllic places to stay, but in exchange for such a location you forsake restaurants and shopping.

So if shopping, restaurants and /or nightlife are important then do mention. if you want to scuba you have to go 'off island' from Phuket anyway although there are good day trips from Phuket to do this around the smaller islands, they are well organised.
Phuket is probably far more developed than you imagine, many do not expect large shopping malls and evening traffic jams in the center of the island, many I guess don't expect Starbucks, Haggen Daz and McD, but you can find tranquil and quiter beaches such as Kamala and Surin to relax and then take the 20 minutes to head into Patong for a lively evening for markets stalls, shopping and any nightlife you want.
Instead of moving islands I would base yourself at a nice beach place on Phuket and put in 1 day to do a day trip for scuba.

A good site to see what is going on in Phuket, weather etc is

http://www.phuketgazette.net

Phi Phi Day trip to give you an idea, most tours are very similar if not the same:

http://www.phuketjettour.com/tour/krabi/phiphi-tour.htm

Snorkeling easier to arrange that scuba, for a scuba trip contact the registered PADI operators. You do need your certificate with you to dive!! - so don't forget it !!
Many of the good scuba trips are several days, though there are day trips such as:

http://www.scandinavian-divers.com/daytrip_list.php

http://www.sea-bees.com/eng/locations_phuket.htm

Thanks so much, James A!!! I really appreciate your time and input. If you are ever in NYC, I'd be happy to repay the favor! I'll go for Kamala, thanks to your recs.

JamesA ---Phi Phi is STILL fantastic. I have been going there for many years before the Tsunami, during, and after!!! And it hasn't changed too much. The main area that suffered the main impact of the Tsunami will be Tonsai Bay which you refer to and you are quite wrong to say that it is more developed since the Tsunami. In fact quite the opposite. One side of the bay still has not been re-developed at all.
Furthermore there is a lot more to Phi Phi than the Tonsai Bay area that most people flock to.
Laem Tong Bay for example. Still idylic and so far as I am concerned and much more relaxing than anywhere else in the Phuket area.

I did not say it was more developed 'now', I said it 'was' more developed than it had been, I am goging back to the early 90's though.