Symptom
The System Preferences and Server Admin applications allow you to create passwords longer than eight characters. You can type more than eight characters when using your password, but characters after the eighth are ignored.
Note: This also applies to remote login, via telnet or rlogin for example.
Solution
For information on how to create a secure password with eight characters, see technical document 106521, "
Mac OS X: How to Choose a Secure Password".