First, a universal rule: starting characters are pretty ineffectual. This was especially true in RMSS, where there are only a few choices to be made at creation. Racial adolescence gives set skill-ranks, and then apprentice-level points are spent on skills. These skills can only be raised by 2 ranks each (normally), giving a limit to the level of competence you could reach. Training packages gave a method of increasing this limit, allowing characters to buy a package including skills they also bought at apprentice. e.g. a fighter may buy the Soldier package, giving them 2 ranks in a weapon category and related skill, and also buy 2 ranks in each as normal. This did not unreasonably change the game, but did allow for a degree of specialisation. What was needed now was a change to the Background Options, which have always been a good idea, poorly implemented.
Enter Talent Law! A comprehensive list of talents, flaws, items, contacts and other useful defining features. Arranged into categories (Special skills, training, magical abilities, social status etc), these talents allow a player to tailor their character to match the concept they have in mind. For example, Schlarzag, the Orcan Magician, was crippled in a mining accident. To represent this, he has taken the flaws of Slow (-25% movement rate), Short of Breath (-25% Exhaustion points) and Tired Legs (cannot walk for more than an hour without suffering terrible penalties.) To counter this, he worked hard at his spell research and has mastered a technique for splitting his spells (Scope Skills: Targeting, All spells affect twice as many targets as normal) and faster casting (Eager, add one round to all preparation times). Also, talent points were spent on a Special Item: Wand of Fire - May cast Fire Bolt once per day. Although this may not seem unbalancing, it did allow Schlarzag to develop Directed Spells - Fire Bolt from first level, and by 6th level, when most Mages are just starting to learn, he had 6 ranks in the skill!
Although at a glance the system looks pretty well balanced, it does take some level of monitoring to ensure characters do not max-out in certain areas. There are several ways, for example, to increase your Self-Discipline bonus, and your Self Control skill category. A few minor flaws will allow quite a serious bonus here! The combination of Directed Weapons Master and Master Warrior Friend will allow a Warrior access to their prime weapon at a costing of 1/1/5, with each bought rank counting as three ranks (As a side effect, the whole category is classified Everyman).
One way we that appeared to work was to only allow players to take up to 40 points of flaws, in up to 4 flaws. This avoids too much 'stocking-up' on habits, addictions, compulsive behaviours and such, while still allowing enough individualisation. Although our local 'Max Power' was still able to create quite a gross 1st level character, he did have to sacrifice a fair amount (20% of all gained exp!), so we were not too fussed.