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I am setting up Organizer for Premier and Photoshop with a lot of photos and videos. Does this eat up additional memory or are these just thumbnails to the files on hard drive.
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Your catalog, thumbnails and data files can take up several hundred megabytes or even a couple gigabytes of space, depending on how many media files there are on your system. That's only a fraction of the space taken up by your actual media files but, as with video editing itself, a huge hard drive with several gigabytes of free space on it is really kind of necessary for the process.
If you're curious about the file sizes, you can go to Windows File Explorer (assuming you're on Windows), enable Show All Files and then browse to C:ProgramData/Adobe/Elements Organizer/Catalogs.