I use a little bit of both.
I search for the CSS property I want to change with "Search in templates", and if its a stylevar that I havnt already changed, I set it. If its a stylevar that I already set for something else (or if the style doesn't have a stylevar assigned), I change the CSS template. I prefer not to make new stylevars for time's sake.
None the less, I have about 4 admincp tabs open when I edit the style :P
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