Recently there has been a TON of news about password breaches. Below is a video from our friends at eSET to help explain things. The video goes over some basic things.
My advice is to match what the video states. I personally use Roboform, and have for many years. Its a paid service where you store all of your passwords in an online vault. You also have access to these passwords from the web, your phone, or the app that you install. You can put wacky passwords and use a generator for each site. You password protect each password with an unlock password so that if someone gets a hold of your roboform ID and Password, they cant get in. Whats better is you can enable a feature to text you when a new computer logs into your account. Its pretty neat. It also has form fill ability which makes creating accounts a real breeze.
They are offering a 1 year account for free -> http://www.roboform.com/lp?frm=rfp-013