Can anyone recommend a booster pad (few inches thick) for the driver's seat on an S60? My wife is only 5'2" and she looks like a 12 year old driving the car. The seat just doesn't go up enough for her. Another two inches and she'd be fine.

Take a good look under your seat, or check with a good tech. If your seat is like the 850 seats, there are 3 or 4 holes on each side, front and rear, that allow the seat to be raised or lowered, in addition to the adjustment available to the driver.

If you are lucky, your seat in not at its highest setting now.
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'96 855R,'64 PV544, '67 P1800, '95 855, '95 854, the first three are mine, heh, heh, 405,000 miles put on 8 bricks

This store seems to have a pretty good variety and am told their products are of good quality. What you don't want is that "memory" foam that will most likely squish down and end up not giving your wife any added height. Good luck:
http://www.feelgoodstore.com/Categories/1073.aspx?ovchn=GGL&ovcpn=carcushions&ovcrn=carseatlumbarsupportad+alc&ovtac=PPC
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1998 S70 T5 Emarald Green Metallic, 2004 V70 2.5T Ruby Red, Previous Owner of Black '94 850 Turbo Wagon. My cars have been running so well lately they've got me worried.

I had an old Taurus whose front seat was a bit low for my liking. So I bought an OBUS FORME seat cushion, available at most drug stores or health car centres. Maybe not 2" but it will help. Get the back part as well to help her not slide back off the cushion. It is good for your bad back as well.

Bill