New around here, so haven't contributed much... but photography is one where I'm an expert at. It's my profession.
Just a quick tip about JPEG compression: Setting 12 is a waste of hard drive space (assuming we're talking about the Adobe Photoshop / Lightroom process).
Setting 10 is actually the highest level that really matters, even for large prints (I routinely get prints made up to 30x40 inches). The visual quality from 10 to 12 is negligible, but the FILE SIZE increase is huge.
Also, there is one other quirk in the way that Photoshop / Lightroom handles the save settings. Up to setting 6, Adobe uses a sub-sampling of chroma data to save space. Basically, it cuts out the data from the file that you're not supposed to be able to see. At setting 7 and higher, the information is no longer cut off... HOWEVER, in order to prevent the file size from jumping a huge amount between Setting 6 and 7, Setting 7 uses pretty much the highest level of image compression.
In other words, files saved at Setting 7 will actually often look significantly MORE compressed than Setting 6 (or even 5).
By Setting 8 and up to 10, the compression levels are normal again and the files should look ok.
Alternatively, as others have said, you can use the Save For Web function to create an even smaller file size yet (at the expense of more compression). For things like miniatures, I'd probably stick to at least the Very High setting.
One last thing to keep in mind is that some image hosting services -- particularly Facebook's photo upload -- will really butcher the heck out of files. They will look TERRIBLE compared to your originals. But then again, every photo gets the same treatment, so at least you can rest assured that everyone is seeing the same crappy photo compression for their stuff.