I'd spend the $30 or so and get a dedicated compass from a hiking shop mate. Much more reliable, plus they have the little measurements printed on them to use on the maps etc. As uninspiring as they can be you shouldn't skimp on the safety items. I've got a compass in an old walking pole and it's out by about 50 degrees.

All the other cheap compasses I have had included as freebies etc have been chucked on the tip. Budget, unreliable compasses should be banned from the market! Get a nice quality one, keep it in a pouch with a mapping ruler, pencil and notebook and you're sorted for all your future walks - it won't wear out. In regards to the PLB I wanted to buy one locally rather than source one from overseas. Most hiking shops have one or two in stock and so do some fishing shops (I got mine at a fishing shop (edit: marine shop) in Launceston for about $500). Lasts for nine years after you register it online, and they even send you a new one if the original saves your life. I can give more details on the model and where I got it if need be (all PLB's bought locally would be fine though as I haven't heard that some brands are better than others due to the nature of the product involved). Thankfully I can't advise you of the working performance of my PLB though. I also have a Spot device but these don't have quite the same coverage and need to be registered at $100 per year (useful for bigger expeditions though). Whilst they do have a function that alerts the big yellow taxi in the sky I think a PLB would be the way to go, especially if you have a GPS as you can log your hike with that anyway