At one point I had a physical filing system, but now they get converted to digital pretty quickly since I don't have to pay 10/hr to get it done. I also usually keep a daily card, and sometimes a few weekly/current lists on the note cards and just carry them around until I'm done with them.

It's mainly the capturing of the ideas that I prefer writing physically. After that, being able to move them around my digital system makes them most useful because I can have dynamic views that surface priorities and related notes without having to physically sift through the stacks.