My computer is 3 years old and runs very slowly. Is it time for a new computer, or just more RAM?

I don't want to invest in a brand new computer, but I've never installed RAM, so I don't know how it affects the computer and whether that will really help me or not.

I recently rejuvenated a MacBook by adding more memory and a faster disk.  I am pleased with the results.   For me, it was a good $200 investment ($100 memory + $100 disk).
What model MBP do you have (size, season and year) (e.g, 13” Mid 2010)?
You can find this information at  > About This Mac > More Info...
It came with 4 GB of RAM, unless it is the low end of the original 2009 model which came with 2.  MBP memory is upgradeable to at lest 8 GB (~$100).
Installation is not hard, especially if you purchase this $5 toolkit that has the necessary tiny screwdriver.
http://eshop.macsales.com/item/OWC/TOOLKITMHD/
See the installation instructions
http://support.apple.com/kb/ht1270
and/or videos at OWC (macsales.com) or ifixit.com.
OWC (macsales.com) and Crucial are good sources for memory.
The other common upgrade is to replace the disk with a faster one.  The hybrid SSHD drives are now much faster than standard 5400 RPM drives.  They are also easy to replace.  OWC is having a sale on these for $100, including a handy installation kit. (Seagate 1 TB hybrid SSHD 2.5”)

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