Practice differs in this area, but I would suggest the following guidelines:

• If you use it all over the place, it should probably be in a package or some other shared place so if you enchance or bugfix it one place, you don't need to hunt down all other copies
• If you want to share it, it's easier for people to take your code as a package/module than to cut'n'paste it, and it makes version tracking easier
• Of course, if you're doing objects, it's best to put them into packages :)

In short, packages/modules are usually a good thing, provided the borders between them are sensible, and provided you have time to structure your code that way. It doesn't hurt if you start new coding projects programming entirely in that fashion. That way, you'll develop nice templates and tools to help you, and once you get used to it, any moderately big application (or set of small ones) will be just as quick to implement that way as the flat way.

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