Is there a way to completely mute the voice navigation. I have it all the way down for volume, and It stills make the iPod skip every time a new direction comes up

Yes you can change it to either MUTE, ATT, or Normal

How do i do that? Whenever I go to sound settings....I can only turn the voice down

Source the unit to OFF. Go into AV SETTINGS. Press MUTE Input/Guide. Plenty more info in the manual if that doesn't help