You're right--I applied to 13 schools and spent between $1,300-$1,500 total between sending out transcripts, scores, writing samples and the works. But it really is just a small investment with a huge pay-off as soon as you get a nice offer. I was bored and doing some math this weekend and determined that the average award package (out-of-state tutition+fees, health insurance and stipend) for the schools I applied to is right around $40,500 a year. When I think of that, the $1,500 I spent on apps is totally put into perspective (at least, now that I've received a few offers).
And solar plexus blows=lame, but they happen.