Reddit reviews Airplane Flying Handbook (FAA Handbooks)
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Used Book in Good Condition
Find an instructor that has instructed more than 4-5 primary students. The instructor should be planning on staying with the FBO for at least the next year so you can finish the certificate with them. I would also suggest an instructor that is around your own age. This will keep you both on the same page and help build trust. Your instructor has to trust you enough to let you learn and you have to trust your instructor not to do anything reckless.
That said you should study on your own, The airplane flying handbook is your bible of practical knowledge. Also buy a copy of the Pilot's Information Manual for your aircraft (Make sure it is for your exact model of aircraft).
The Pilot's Handbook of Aeronautical Knowledge is another good resource produced by the FAA.
Private Pilot and Recreational Pilot FAA Knowledge Test 2010 gives you all the questions and answers for the ground school test. You can practice on the Sporty's Web Site for free which helps a lot.
The easiest way to save money is to study on your own, the more you study the less time your instructor has to spend with you on the ground. I wouldn't bother with flight simulators on your home computer, they are nice for learning how to scan instruments but at the beginning of your flight training they will only mess you up. That said if you decide to get an instrument rating flight sim is invaluable.