I have been frustrated with the amount of passwords that I have to memorize and I am looking into using a password manager. However, I am a little hesitant to put all of my passwords into one place. If it ever gets compromised I would be in a lot of trouble. Any opinions?

Verisign has an offering as well:

https://pip.verisignlabs.com/

I use passwordsafe at work, and keepass at home. Both programs are nice, later this year, I might start migrating work to Keepass (unlike passwordsafe it works on every OS we use).

I would keep the passwords to the safe copied down somewhere. I've lost some passwords because I couldn't remember the password I used for the safe. I recommend your wallet, firesafe, or a safety deposit box depending on how paranoid you are.

As Data_Raid said, if they get the file, they might be able to brute force it.

Something else you might do, to spread the pain of a compromise, is to use different safes (files) with passwords to different things in them.