Keyword Density

Today I worked a little on keyword density. My keyword's were up around 7%, and after some forum reading, I found it best to drop it down to around 3. I certainly don't want to get penalized or banned so playing it safe seems like the way to go. Plus, I can't imagine Google would penalize a website for 3% or lower (I mean how low do they expect?). Here's my take on it......
Regardless of your keyword density, as long as there is a noticeable difference in density % between your keywods and other words, the serps should be able to determine your keyword. For instance, if your denisty is 3% and your next word is 1.5, then it should be enough of a difference.....
I currently have a #10 ranking in MSN, and know this will drop once my site is indexed showing less density, but Google's my real goal anyway, and once MSN catches up with Google and Yahoo in terms of the complexity of their algorithms, high keyword density won't work anymore anyway.......

Tommorow's project: analyzing duplicate content %'s :)
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