A lot of people simply blown in the new insulation over the old - however, this insulation is very nasty, has mold in it, and causes Micheal to have breathing problems when he goes into the attic so we're just getting rid of it altogether.
The product we're choosing to use is GreenFiber blown cellulose insulation:
You use this blower/hopper to blow the insulation into your attic:
(Image from About.com: Garages and Storage Spaces)
Home Depot regularly offers the rental of the blower for free if you purchase $200 worth of insulation - as luck would have it, it will take about $200 to do our entire attic, SCORE! We're wanting to do this before it gets too hot, to help with our A/C bills and so we (and by we I mean Micheal since I'll be manning the hopper) don't sweat to death doing it.
We will pick up the insulation this week, and are planning on completing the project on the two weeks from now! Hold us to it because this is one that NEEDS to get done!