Running Xp and every time i delete something it never show's up in my recycle bin, thougth it let's me empty it.Really don't want the hassle of reinstalling two operating systems plus all my applications.The only disk i have is a product recovery disk so i don't have the option to repair the os. Any idea's. Thanks

What type of files are you deleting. Are they system files? (they may be hidden you can change this in your explorer preferences) Or are they just generic documents and such?

It happens with most files. I think when i installed McAfee Virus scanner it some how corrupted the recycle bin.

Very possible, check your settings in McAfee, I believe (don't quote me) There is an option to desable "Protect Recycle Bin" Try turning this off and rebooting. It might help.