I do need a pressure tank. Right now I am running the system as you recommend. The trouble is as follows:
A. If I want a small amount of water to wash my hands I have to walk to the pump to turn it on.
B. If the hose is kinked or if I am not flowing as much water as the pump wants to push it will trip a thermal overload safety.
C. I have to have at least one hose on all the time.
If I have a tank, three possibilities exist, none of which require me to go turn the pump on:
1. I open one of more hose bibbs completely such that all of the pump's flow is pushed out the hoses and the tank does not fill. In this case the pump will run perpetually.
2. I open one hose bib partially to water at slow speed. The tank will drop to 40 psi, the pump will turn on, and then turn off at 60 psi.
3. I open a hose bib slightly to wash my hands. The pump probably won't turn on.
A larger tank only serves the following purpose:
In case 2 above it will take longer for the tank to reach 40, and the pump will run longer to get it up to 60. This would reduce pump cycling when not using much water.
In case 3 above I can use more water to wash my hands without the pump having to turn on.
When irrigating, I will most likely be watering with one or more hoses nearly on full blast.
I bought the half price 14 gallon tank and I will test it out soon and report back with my findings. I will try all three cases (1-3) above and monitor pump cycling rate.