Working from home is the way to do it. I recoup 90 minutes of travel time each day I do it. If I don't go out for lunch, I save $10 between gas and restaurant prices. Doesn't seem like alot, but multiply that by 2 days a week for a year: $500-$1000 saved, 20-something books read instead of sitting in traffic, less stress, 3000 fewer miles driven and the exhaust that accompanies them.

My boss lives 60+ minutes from the office and works from home as much as he can (up to 4 days a week). The next time I change employers, working from home is one of the perks I'll be looking for at the top of the list.