Here is my recommendation:
This first recommendation can be kind of pricy, so I'll show cheaper alternatives as my second recommendation. I'll be referring to newegg.com for pricing, which is a US website. If you live in another country, let me know and I'll see if I can find a comparable website for your country. Each recommendation involves using 3 hard drives and a certain program.
What I use for my computer are 3 hard drives (I'd actually like to use a 4th one, but until I can afford another one I'll have to use this method). The first hard drive (I'll call it HDD0) is in 2 partitions. I have a partition set for 60GB which I use for my Operating System (OS) and for all the programs I install. I then create a second partition on the drive which I have My Documents pointed to.
(Note: to redirect your 'My Documents' to go to another partition, right-click on My Documents, select 'Properties', in the 'Target' tab press the 'move' button then go to 'My Computer' and select the drive you want it pointed it. Mine is set to my D: drive. This applies to Windows XP and I think Windows 2000 works the same way.)
The reason why it is so important to keep your OS separated from your My Documents directory is because if your Windows crashes, your My Documents folder is unaffected if you have to reinstall Windows. Earlier when I talked about having a 4th drive (most computers will not handle more than 2 internal drives, but mine is capable of supporting 6 internal drives), I'd like to separate the 2 partitions on HDD0 and put them on completely separate drives. That way if the hard drive that Windows is on completely dies, your My Documents will be on a completely separate drive.
Continuing on, for the second hard drive (HDD1), I recommend using this to automatically back up your My Documents in real-time with file revisions. What this means is, I use a program called Iomega QuikSync (now called Iomega Automatic Backup, not to be confused with Iomega Sync) and every time I save a file to the My Documents folder on HDD0, the Automatic Backup program saves it to my HDD1. If the file was already saved before, I have an option to keep revisions of the file so if I seriously mess up something I was working on and don't realize I messed up so badly until
after I already saved the file, I can go back to an earlier revision of the file prior to the mess-up. I have mine set to 5 revisions, which I think is a good amount, but you can have it set to about 50 revisions if you want. The advantage of this versus a RAID array (where HDD0 and HDD1 are synchronized) is that if you mess up a file then save it, you just totally ruined the file on the back up drive, too, because it overwrites the file with the mess-up that was just done.
Hope this is making sense?
The third hard drive is an external hard drive. This is VERY important and let me explain why. I work in the IT field as a Network Administrator/Field Support person and one day one of our servers died. After opening up the case to see what happened, we noticed the hard drives were fried (literally). What I believed happened was that the power supply failed and it caused a power spike through the computer. All of the electronics on the bottom of the hard drive were charred black and the rest of the computer was destroyed, too. This computer was set up as a RAID, but both of the drives were toast. Another time, one of our branch locations were hit by a tornado. The server was gone.
Luckily, we used an external solution in the event something like this happened. What I use is a USB 2.0 external hard drive (Firewire will work, too). What I have right now is rather primitive since I have to manually copy the files I want to back up, but there are options to have your data backed up automatically. I store my external drive in a fire-proof safe (got it for $18 at Wal-Mart).
First Recommendation:
$380
HDD0: Seagate 400GB IDE or Serial ATA drive. The IDE one is about $350 and the Serial ATA one is about $375. If you have Serial ATA ports in your computer, I'd recommend using a SATA drive. This is the drive that will have 2 partitions. Partition 1: OS/Programs (a 40GB - 60GB is a good size); Partition 2: My Documents
Seagate 400GB IDE HDD Seagate 400GB SATA HDD
$380 + $40
HDD1: same as HDD0. This one will automatically back up My Documents on HDD0 with Iomega Automatic Backup ($40)
Iomega Automatic Backup
$355 + $20
External Drive:
Automatically back up the My Documents partition on HDD0 with a Simpletech 400GB USB 2.0 drive. Fire-proof safe to store hard drive to be used in the event of a disaster such as a fire, tornado, flood (get a water-proof safe if you think you're in a flood area), computer power spike, etc.
Simpletech 400GB External Hard Drive USB 2.0
How much does this cost? A LOT! lol It would be around $1,200. I do have a cheaper alternative to use smaller drives such as 250GB or 300GB. I'll make another post with the alternative setup since this is such a long post.