Brownz,
Working at a very low level (so low that you can't get work done) obviously will not work out, though you don't need to "blast" them either. Establish a comfortable working volume that is workable for you and those you live with and try to be reasonable with time. What I do is turn my interface up 100% and turn my speakers down on their controls to a comfortable level for everyone in the house. This way, I can never accidentally turn it up louder than that. At other points during the day when you aren't able to listen at working volumes, then use the headphones.
Headphones aren't bad as long as you're referencing back to your speakers, but be sure to check often - I've had to re-do segments of tracks from times when I left my headphones on without checking certain parts on the speakers. For arranging, any listening source is fine.