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Keyword Density is still important but no where as
important as it used to be. As a general rule you should mention your
keyword early and often, then a few times through the body of the text
and then once again near the end. About 2% (1-3%) keyword density is
a good figure to aim for. If you just write around your topic or key phrase
normally you should get pretty close to this figure. The idea is for it to
read normally or naturally. You should be creating content for your visitors, Not the search engines, by doing this funnily enough you will be rewarded well by the search engines.

The last thing you want is keyword stuffed text, otherwise you run the risk of being penalized for a too higher keyword density.