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[slink]

I leave a lot of it unmined.   
The mined stone goes into stockpiles for shops, and into quantum stockpiles to make the floor nice.
The shops make blocks for construction, rock cabinets for bedrooms, rocks tables and chairs for offices and dining rooms, rock armor stands and weapon racks for nobles, rock coffins for dead people, rock hives and nests for livestock, rock mechanisms, one rock quern, any crafts required by nobles, and rock pots if I can't get much wood.  I make my masons keep working until all of the stone furniture is at least superior quality, and preferably better.  The lesser examples get sold to caravans.
Ore gets smelted.

[Callista]

Quantum stockpile and forget about it.

[wuphonsreach]

In 34.11, I no longer have excess stone.  It either gets turned into blocks and used in constructions, or it gets consumed in the mason/mechanics shops for mechanisms / furniture.  Or used up in a craft shop to make rock pots.

Above ground construction uses up a lot of stone blocks, very quickly.

[Saiko Kila]

aside from mega projects or just building above ground this game always leaves you with hundreds if not thousands of stone boulders. Once upon a time I would just quantum stockpile them though recently I have come into a more productive use of them. mugs, thousands and thousands of mugs. why mugs? i don't really know myself it just seems to make the most sense to me.

what do you guys do with all your stone?

I can't agree with the first statement even in case of pre .34.08 DF. I regularly run out of stones, thanks to using them for: blocks, memorial slabs, coffins, pots, doors, hatches, cabinets, chests, tables, thrones, mechanisms, constructions (including buildings on surface, like walls and towers) and siege operator training. Even with retaining most of stones used for catapults I lose too many. I even need to periodically mine for stones. Of course many of these things (all except memorial slabs and ammo) can be made from other materials, but stones are cheapest and more readily available, plus I don't like metal bars "frozen" in constructions, because that messes up with my calculations and stock status perception. If you don't make memorials for every creature killed or prefer non-stones then you can end with too much stones, yes. But it is unlikely if you mine only ores, after the most important rooms and corridors are completed.