First of all you can use it to add new items in your SharePoint Solution. It have templates for the most common things you'll do in SharePoint:
When you'll use a template from it, WSPBuilder will populate your solution with the necessary files and folders and will make the appropriate configuration for the features to deploy the item you'd just add to the solution. So you just have to worry about the code behind the feature, the other nasty things(creation of folders and files and synchronization of the features) are taking care by the WSPBuilder.
And after you'll finish the development and you'll want to deploy your solution, nothing can be more simple: you just have to add a Solution Installer Configuration item from the templates WSPBuilder has and to configurate it (it is very simple to do that) and after that you just have to press a button and the WSPBuilder will make you a wsp solution and an installer for it and your Sharepoint solution is ready to be deployed (nice and easy). You just have to press Create Deployment Folder as shown below and a folder named deploy is created in your bin folder. In this folder you have an installer for your Sharepoint Solution and you can use it to install your solution to any server you'll want just by using a wizard (and of course you can distribute it to non SharePoint power users to install it on their servers).
As you could see in the image you have and other useful options you can use in your SharePoint Solution. You just have to right click on your project after you have installed WSPBuilder extensions for Visual Studio.
So on my opinion this tool is a must for every SharePoint developer.
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