Can you please share your settings with me? cgminer is able to get similar results?
Many people have said this, but I want to make sure lenny_ understands: The 10-15% "rejects" you see in p2pool have nothing to do with a decrease in income nor with wasted work. 10-15% rejects on p2pool is the same as 2-2.5% rejects on any other pool. The reason is that the p2pool sharechain is different (in behaviour) than the bitcoin blockchain.
I'm periodically fighting FUD of "p2pool sucks because they have a ridiculous reject ratio." I then explain it to people, with examples showing how you make more money with a 10-15% reject rate on p2pool than you would on a 2% reject rate on another pool. A few days later, someone else pops up and says the same thing.
The 10 second LPs have nothing to do with lost income and does not create a disaster, the sharechain is different than the blockchain.
This is a phenomenal description of p2pool:
I think p2pool is for geeks who like to setup and tune everything themselves. When you can host a node properly (for me this means locally on a host with a good CPU, 2GB RAM on a Linux server dedicated to bitcoind+p2pool, a SSD to store bitcoind's data and with a good QoS setup so that both bitcoind and p2pool don't suffer from other traffic on your WAN connection) and configure a backup pool it's arguably the most reliable and profitable option.
It's not for everyone, but if you are a serious miner and have the network connection and hardware available it's simply the best solution.