This past weekend, I setup my first rain barrel.  Actually, I made four of them, fixed them up, sold three for a small profit -and kept the fourth for myself.

(More Photos)

We installed it near the front of our house - however we'll soon be replacing it with a wooden wine barrel (for a better appearance).  

Here are the benefits of a rain barrel

1. FREE water for your plants & gardens
2. Prevent water run-off from flowing into the city's storm drains (thus bringing chemicals & debris with it)
3. Water is free of the chemicals that are commonly found in city water (better for vegitation)
4. Water is luke warm temperature (not cold like the tap water).  Cold water will shock vegatation and the plant won't get the full benefit of the watering.

And here are the things I've learned about my barrel

1. Initially, the supply hose looped a little bit (causing a "J-trap" effect).  I straigtened the hose & i'm waiting for the next rain to see if that fixed it
2. The one storm we've had - was a big one.  I found some debris in the supply hose - clogged up a bit.  I ended up removing the hose adapter from the supply line because that was a bottle neck for debris to accumulate.

I'll probably be adding more of these to my backyard over time.  And now my parents want one too.  I think they are fun to make and easy to install. 

UPDATE 6/11/08:

I upgraded the plastic barrel with a wine barrel from Napa Valley.  Take a look:

Let me know if you want one !!