I have a bit of an advantage over you though, I have 2 internal HDD's & an external (only used for backup.) So you will probably find after a bit of experience how to manage it so it doesn't take over your computer's disk space. Your suggestion sounds ok. However, it might mean that in order to play those songs from the external HDD you'd need to have it connected at that time. If that's fine 4U then it sounds ok.

Oh the penguin is indeed a naughty one! And I had thought they were such peaceful creatures.