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I’m using a shotgun approach, but what I should be doing is using something like the Dlink DNS 323 with two disks in it, mirrored (RAID 1), for protection against disk failure. I recently had a disk failure and recovered using a combination of backups and online storage. I’ve also been looking at LiveDrive, SkyDrive and Norton whatever it is online backup. Of course you need good line speed for effective online storage so, if you’re going to see NBN in the near future, I’d go for that. I’ve also got an old PC setup as a file server and a WD Elements drive so I just need a real NAS to complete the collection!