Hi Bobbi,
Sorry I didn't get to your question till now. Somehow it completely slipped by me.
Having your site as well as a blog with wordpress is so easy. Before you do anything, be sure to update your WP to the newest version (2.9). Quick update can be done in your dashboard.
You'll need to set up each of your pages for your site including your content for each page. Then you'll also want to set up a page called "blog" but don't add any content to it.
In your dashboard under "settings->reading" you'll be choosing the "static page" option and choosing which page will be your front page then you will choose "blog" as your posts page.
Now whenever you add a new post it will only be found under Blog in your navigation.
Some themes will remove the "bloggy" looking items from your non-blog pages once your settings are all correct. Things like "posted on", etc.
If they don't automatically disappear, shoot me an email and I'll help you out further.
You can also see some WP questions answered, or submit your own, at my blog
Dear Christina.
I'm here if you need me :-)