Using a password manager introduces a single point of failure. My biometrics are leaked every time I post a selfie or a picture of myself holding something. The idea of something like an "emergency kit" being extant for something I care about makes my skin crawl. They say you should put it in you cloud storage!!! What the actual fuck. The only points of vulnerability in the chain for the things I have passwords on is keylogging or a system breach on the provider side. I can rest easy that until I have my brain chip I'll lose at most one thing at a time. There is zero chance of a massive failure, and there's a very low chance that I'll lose access because some part of the chain is missing, and my vulnerability surface is much lower than if my passwords existed anywhere outside my brain.

In any case, I'm far far more worried about not being able to log into something because there's too much security than I am worried about someone accessing my things when they shouldn't. The former has cost me many more productive minutes than the latter.

The second layer is the downside, it makes it annoying to log into stuff. Even using SSH keys is awful. The UX of being able to log into things from wherever on whatever device because you remember your password is unparalleled. Yeah you have to worry about being keylogged which like, sure, it's a worry, but I've spent a lot more of my life being annoyed that I couldn't log into something because I didn't have the SSH key on that machine or trying to find my stupid yubikey etc than I have dealing with the afermath of having something hacked.

(which to my knowledge only happened once when I set the root password on my VPS to 'toor' before i knew about internet background hacking radiation, and sure maybe i'm compromised right now, but it's absolutely not affecting my day to day life so i'm not gonna worry about it)