I've tried various system to keep tract and organize all my login and password information and this is by far the best and most practical + it can store all licence and registration information. It offers some added anti spyware (that pick up key strokes) by entering the password and login for you and anti phishing protection by remembering the exact web address of each login page so that it will not enter sensitive information on lookalike phishing sites.
1Password is really easy to use and is a time saver by automatically filing login info in most websites and creating new passwords when needed.
When travelling I use the Palm version of 1Password or from within 1Password you can create an encrypted file that is password protected that you can take on a flash drive.
I highly recommend this password manager.