Where does the purchase from iTune stored ?

I have a Desktop, my wife has a Mac Book Air & a iPad, My son & daughter has a iPod Touch & a iPod each.
My children are less than 12 yrs old and do not own iTune account nor my wife.
I have an iTune account and tethered to my credit card to purchase.
I have never bought music from iTune [My purchase history is for hardware-MBA,iPod Touch ect]
What happens when I purchase a music track through my iTune account? [My Wife wants to know as she would like to purchase music tracks and I am sure my daughter would then want those same tracks on her iPod & iPad]
Do I have to download it to save on my Computer or the Mac Book Air Hard drive so that I can save them & play on our iPads or the iPod Touchs? What would happen if I on a later date to format my computer or the MBA hard drive to reinstall my OS-Would I loose access to my purchased music tracks as they would get erased during the process of hard drive format?
I would appreciate if anyone could make it clear to me.
Regards

You buy one download from itunes, just as you buy one cd from the store.
Once you buy it, then you can move/copy/backup the music wherever you like.
It has always been very basic to always maintain a backup copy of your computer files, docs,music,pics,etc to an external source ( external drive, dvd, cd, flash drive, network drive,etc).
Your itunes purchases should be no different. They should be included in your regular backup of your computer.
You can Google backup itunes library or similar for directions or just copy the entire itunes folder. Itunes also offers a way to do this:
http://discussions.apple.com/thread.jspa?threadID=2727383
You can transfer itunes purchases from an ipod/iphone/ipad. Without syncing: File>Transfer Purchases
I certainly would not rely on that as your backup plan. The music should be included in your regular backup of your computer.

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  • Where is my music from itunes stored?

    I am trying to locate on my computer where the music is which is on my itunes library?
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