My husband & I are renting a car for 10 days and touring all around Italy. We will be visiting Venice for 2 nights mid week and are exploring our best options (convenient/best price) to park our rental car during our stay. We considered turning in our car and renting another car after Venice however this may be more hassle than it's worth. Any thoughts or suggestions?
Cities without roads and cars are not the best places to take rental cars. It would be easier to offer an opinion if we knew the rest of your schedule. Flying into, flying out of, traveling from where to where? There are many places in Italy where rental cars are a bigger headache than they're worth. And there are some places where a rental car would be a plus.
There is a big parking garage at the edge of the island where you and all other tourists who bring rental cars will be parking. The train, on the other hand, deposits you right at the grand canal without worrying about parking or rental costs or insurance or petrol or tolls or (heaven forbid) fender benders.
Dianna, look at using the parking garage at Tronchetto. We used in 2010. Took a boat from there to the Hilton on Giudecca. Easy to get on and off. Google "parking garage venice italy" and you will see your options. Enjoy!
P.S. If you are going to big cities be aware of ZTL's. The only big city we went to was Milan and the ZTL was clearly marked so it was easy to avoid.