If you want to have access to files in case you change to a different operating system or if you want to add another OS in order to dual boot later, partition your drive into different partitions. Make your Windows XP partition NTFS (since you have to) and only make it big enough to hold the OS and some of the programs that wouldn't be useful on other systems (such as the latest versions of Office and such). I usually allocate a 10-20GB partition for Windows XP to live on. The remaining partitions can then be formatted to FAT32 if you'd like.
chrisbliss18 26 Posting Shark
Thinka commented: Great post, it's clear and it works +5