Awesome, thank you! I figured since the files are hosted by YouTube that it wouldnt slow your site down- at least thats what I've heard. I wasnt sure though.
For anyone who is wondering how I "embedded" my video- underneath the Post: box you'll see Markup with a drop down and using UBBCode by default. Change that to using HTML and UBBCode and highlight the script from your YouTube account.
Like this:

Then paste that HTML Script into your Post and it will show the Thumbnail of your video.
Next question Doug - can this be stickied? And is there any way I could get some of your pancakes delivered to San Diego tomorrow morning? lol jk