2023 NOTE: We used to recommend LastPass to everyone. Since being bought by LogMeIn, their price has tripled and they now only allow the free version on 1 device. I currently recommend the open source alternative BitWarden. In many ways it is superior to LastPass: Open Source software, you can use the free version on multiple devices, and it has a much cleaner design. However, I will say that password sharing was great on LastPass. That is only available on paid version of BitWarden. Also, LastPass seems to better recognize user/pass fields that I sometimes find myself manually filling with BitWarden. Overall I feel Bitwarden is superior and recommend it over LastPass for most people.
ref: https://bitwarden.com
2019:
If you are interested in an easy way to manage a multitude of passwords, we recommend Lastpass for secure, encrypted password storage and login credential sharing.
It is available as a mobile app and as a browser extension. The free level is usually good enough for most users. They have premium, business and family paid versions too.
A couple videos to let you check it out if you’re interested in learning more
quick: https://www.youtube.com/watch?v=u3tvjNHPmAw
in depth: https://www.youtube.com/watch?v=OLaCE_YmDVo
and some links
website: https://lastpass.com/create-account.php
chrome extension: https://chrome.google.com/webstore/search/lastpass
iphone app: https://itunes.apple.com/in/app/lastpass-password-manager/id324613447
android app: https://play.google.com/store/apps/details?id=com.lastpass.lpandroid
Only the encrypted files are stored at Lastpass and only you have the master key.