Hi, glad your wife likes her bike.  
I don't like saddlebags either, although I have the OEM ones on now and have to admit they get used every day.
Another option is a tank bag.  They come in all shapes and sizes, and many of them are magnetized so you just take it on and off the bike very easily.
Here are some Cortech ones:
http://www.tourmaster.com/xcart/product.php?productid=233

I have a small tank bag and I use it every single day.  My goal is to get a bigger tank bag and lose the saddlebags altogether because I think the bike is beautiful and I hate to block the view of it.

Good luck and ride safe,
Amy

You can always add the sissybar so that you have something to strap the bag onto. Plus, I think it adds to the looks of the bike a bit.

As a heads up... You can buy a set of rails from a Savage owner and they'll bolt right up on the S40... Or, EBay has new S40 rails that have the sissybar too. The only difference between the S40 and Savage sissybar sets is the emblem that covers the 2 screws that hold the pad to the brace, and the pad vinyl covering material.

I used to have a tail bag for my gz250. It kinda looks like a tank bag but goes on the back of sports bikes or anything without a sissy bar. It has bungee chords on it so that it grabs underneath the seat or on the fender rails.