Charlie still uses a Palm Tungsten E2. He also has an iPhone 5, but he prefers the way his Palm Pilot can sort his contacts by category. He's been having trouble syncing his Palm Pilot with his laptop, though. Leo says that the Palm Desktop software will probably work. But the Palm Pilot used a serial port and they aren't available anymore. So he'll have to pick up a serial to USB adapter. Leo thinks he should be able to do everything he wants with the iPhone, though, so let's try and find a solution so he doesn't have to carry both devices all the time.
The chatroom says there are Palm emulator apps for iPhone, which is interesting. He could also look into a third party contact manager that would have more functionality. But the iPhone 5 can sort contacts by groups natively. He just won't be able to create those groups on the iPhone -- he'll have to do it through the Mac or iCloud. Leo recommends syncing his contacts with Google, and he can use Google Keep for notes. Apple also has built in Notes and Reminders apps that are pretty good. As far as keeping his usernames and passwords securely, Leo recommends LastPass. It's a secure and encrypted vault that will store everything securely.
Here's an article from PCAdvisor on how to sort contacts on the iPhone.