I've put up several fences, and I sink the posts in concrete and use some simple aluminum roof flashing at the very top of the concrete to create an angle finish where the post goes into the concrete so any water will drain away from the post. Its very simple to do and the flashing is inexpensive. The concrete raises about 2-3 inces above ground level so basically all the post is in contact with is the concrete.
As far as the shed goes, the footer would be the best and will also help with any critters that want to make under your shed their new home.
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