I spend way too much time keeping up with people's blogs. I have been using Blogarithm, which sends me e-mails listing which blogs have been updated. But I've found that Blogarithm is very slow, it's sometimes a day or more later than when the blog was updated and it seems to be hit or miss with some blogs.
So now I'm trying Google Reader and early review is that I like it. It's a little cumbersome to set up, you have to enter each blog you follow individually, and then you get about 10 of the last entries of that blog which you have to "mark as read" (just one click), but once you are set up it's pretty slick.
You also have to have a Google account, which I do to create this blog, you just sign in on the Google Reader page and it will show you which blogs or web pages you subscribed to that have been updated. It shows you the actual entry. The down side is you are just seeing the post, you don't get the sidebars and headers, but you can click and go to the blog page. I've also found that some blogs are set up to where you only get a portion of the post, but again you can click and get the whole thing.