Ran across this great article
Although Facebook offers various privacy settings that can be tweaked, there is no way to guarantee that your photos will not be seen by people you didn't intend to share with. While the risk of sexual predators stalking children after seeing their Facebook photos is small, it cannot be completely discounted. Posting photos of your children also sets a bad example to them about privacy and opens them up to other dangers, such as identity theft.
We all know we love showing off our kids. We want people to see how awesome they are. But, have you ever watched the "mermaid costume" review vids on YouTube with the 12 year-old girls? Or maybe the "backyard water slide" with all the kids?
I learned about these from a friend, who was looking at them for his little girl. Yeah, he said after watching them for about 15 minutes, he just felt like such a creepy old man. And he's actually a really good guy. Imagine the jollies that real creepy old men get off watching these vids.
Yeah, go read the article and keep your kids' pix off the Interwebs.