Although so many people have posted similar methods I just thought I would share mine.

I take the cards and dump them to my local HDD.
I then take that and burn it to a DVD, and label it and put it with the rest of the source DVDs. This includes everything and is labeled with a date.
Once I have that, I then go through and toss the worthless photos.
After that, I make another round through to make sure I only have things I really want to use. I then import this in to Picasa.
From here, I will find and edit only a few of them and upload them to Flickr/Facebook/etc. for display.
I also have online backup to back up the remaining collection from the HDD to somewhere. There are many, many cheap ways of doing this. I make mine cheaper by not backing up everything online since I prune it before it gets to that point. You could use Mozy, Crash Plan, or even just pay Google for more Picasa web storage.

If I wanted a more secure backup that included everything, I would probably burn duplicates of the DVD media and put one in a fireproof safe or outside storage. Alternatively to that, I would at a relative’s/friends/co-host location, setup a box, and use rsync or Crash Plan’s software (both free options) to have things backup automatically offsite to HDD.

I only mention Crash Plan because they at least allow you to "seed" your initial storage by sending you a drive to fill and mail back, so you don't hit a bandwidth cap trying to get things started.

Your options for this are so numerous that it all really depends on your own comfort and financial levels.

Although my wife will rarely play and if she does it is the Wii, my son is far more interested in being able to play games with me then on his own, and we do not let him play anything online without one of us around and normally if it is online it is with me in something split screen or single screen multiplayer.

The new Need for Speed Hot Pursuit, does not have local multiplayer, yet all the previous ones had, and it was made by the same team that did the Burnout series, which all also had local multiplayer. I found this quite out of style for them, and instead of messing with it, I got NHL 11, so it can drive people away from sales.

COD MW2, requires 2 gamer tags for two people to go online, while COD BO allows a guest to play split screen. COD WaW did not allow for more than 2 players in their Zombie sub-game, COD BO allows for 4 players.

I do see a struggle between the modes of multiplayer, not being a game developer I have no idea what this is like on their end, but to me it seems a small thing that should always stay in tack as not everyone can or wants to play online.