Denny,
Before you give yourself an ulcer worrying about how much it's going to cost to rebuild your engine, step back and do some diagnostics.
Does your temperature guage indicate that you are running hotter than normal? How long has it been since you have changed the radiator cap? If it has been more than a year or two, and you are running at normal temperatures, then change the radiator cap. Buy a top quality cap. DO NOT OPEN THE CAP WHEN THE ENGINE IS HOT!
You can remove the cap, start the car, and watch the coolant flow when the thermostat opens. After the coolant cycles several times, it is a good indication that the thermostat is working properly. If the thermostat is not opening you would be overheating! Is the fan working?
If there is a lot of air (bubbles) in the coolant, or foam, it could indicate a head gasket problem. This can be checked by pressure testing the radiator, and by doing a compression test on the cylinders.
However, keep in mind that at any one of the many hose connections, the engine could suck in air via the vacuum created when the engine cools down. The spring clamps used in production lose some of their tension with age, and/or corrosion.
Any hose that feels spongy, or is very hard, should be replaced.
The hoses themselves also deteriorate with age.
A radiator cap that has lost some of its spring tension can also allow the system to suck in air.
Why isn't the fluid being sucked back into the system from the overflow bottle?
Check for any signs of leaks at all hoses, gaskets, and any place the coolant flows, such as the water pump and the radiator, especially around the tank seals and petcock.
Take your time and do the diagnostics, or you could spend a lot of time and money unnecessarily. Hope this helps, rangerj