Windows 7 - Running out of physical memory

Inspite of writing a lot of text let me post a screenshot to describe it in a better and easier way......
the screenshot of my Windows Task Manager is being attached, from that you can see ordinary system processes are consuming so much of my physical memory.That makes my system a lot slower.
I set up a my windows just yesterday,so the system is fresh.
Please help to get rid of this problem.
Thanks.

I can't see the heading for the memory column. Is that memory (working set)? If not, add Working Set to your task manager memory display. Working set is "likely being currently used" memory and is essential for a given process/task. Total memory can be misleading as to the essential memory needed for your PC.

Welcome
This looks like a simple solve.
Your memory is being used by many appl and programs being used at the same time.
This can happen if you use software and do not close it, but yet open another.
or
It can happen by having too many programs in startup.
Lets try to disable startup programs and see if it helps
Startup Programs - Change

Also update your system specs and let us know how much RAM your laptop/desktop has.

Agreed - and secondly (or thirdly, or... I lost count while posting!) don't use task manager to monitor resources. Resource Monitor was designed for that, so using that will help give you more accurate data.

Seems to me you got 2GB memory and the services listed use about 1.6GB, but that's why virtual memory is there, it should work just fine, it will just run slower when memory is swapped from HDD. Either add memory as 2GB is bare minimum for Windows 7, spend some time shutting down nonessential services and you need to figure out which one since everybody is different, or switch back to XP or some less demanding OS. I would probably use it the way it is, try to run 1 program at the time and if that didn't meet my expectations, I would probably get new computer, since CPU, HHD and graphics could be outdated as well. It really depends how you use your computer, but there is not much you can do about low memory, you could spend whole day optimizing services etc and at the end of day maybe gain 5-10%, just load some new program and watch it all disappear.

A LOT slower.

Suggest you cleanup your startups as was already said and then post a pic of your Resource Monitor.

10 microseconds versus 10 milliseconds for seek is a big deal to a CPU, and a few hundred microseconds for read/write versus a few hundred milliseconds is even more of a difference. Also, if you start paging to disk with any regularity, you're probably already in a situation where the fact that your paging file being used is not the largest of your performance problems anyway .