I use a different password for everything. Each of these passwords is at least ten characters in any combination of Lower Case, Upper Case, Numbers and Symbols that I randomly type when I create the password. I then store these passwords in an encrypted password manager that uses a strong password for access.
I use only 2 passwords for everything on the Internet. One easy password for all sites and forums where I do not have stored anything worth hacking (which is about 99% of everything), and one difficult password for sites like Paypal, Ebay and such where I don't want people to have access to. The easy password is simply the name of a certain part of the world (guess away folks!), the second password is something else