Why didn’t I start using this earlier.
Podcasts will auto resume where you left off. Audiobooks too if they’re bought or you fiddle with them.
Rename AAC file extensions from m4a to m4b.
Convert mp3s to AACs if you’d like and try the above.
iTunes can bookmark MP3s. Podcasts are. I only briefly looked into how. iPodLounge has more info.
Cool eh?