A colleague of mine was stunned when he mentioned Kuler and I didn't know what he was talking about. Shocked, he stepped over to his office and IM'd me the link.

Wow.

I know there are a lot of color palette generating tools out there but Kuler gets my vote for being the best hands down.

With Kuler not only can you create your own palette based on a source color but you can browse hundreds of existing palettes contributed by the Adobe community. It'd even be useful for viewing with a client to get a feel for their color preferences.

Once you find or create a palette you like you can then download it as a swatch that can then be imported into your Photoshop swatch palette.Neat!

The community also gets a chance to rate the palettes so you can then browse by the highest rated palettes. You can also browse by the newest and most downloaded.

Kuler also takes advantage of it's Flash foundation by applying subtle animations while browsing palettes that really enhance the experience and encourage exploration.

Adobe Labs really got it right with this one. Kuler rocks!