I just started using Google Reader yesterday. I had been using a mishmash of bookmarks, blogroll links, and plain old remembering to keep up to date. I haven't gotten into using RSS at all. I don't fully understand how the readers work, in terms of my experience using them (I know they aren't hard, but I never took the time to look at one), and I don't know. It's kinda like MP3s. I never had digital music until I bought my PowerBook and iPod. Now I'm addicted. Google Reader is going to be the same way I think.
It doesn't seem to care what type of feed a site is sending out (Feedburner, RSS 1 or 2). I can tag individual entries that people post, or an entire site. I can also star items (though I'm not sure yet the advantage of that).
There are a few things so far that are a bit clumsy. Adding subscriptions to the reader is a bit of a pain. After you had one it doens't take you back to the subscription page, you have to navigate back to add another one. It's also a bit tedious to add tags to each subscription. I should have done that as I added them, not after the fact.
But overall, I'm enjoying it. And I must say, I'm way more up to date now than I was before. Yay.
I actually used Google Reader for a while (since it embraces Web 2.0 principles), but the interface frustrations finally proved to be too much.
I use Bloglines now...it is old school, but it is a service, free, and is easy to access and read. I keep up with all of Mr. Veen's musings on there.
Just passing along the suggestion in case your experience with the Google Reader proves to be as frustrating as mine.
Jason