I never squash spiders. They're either my buddies and they catch insects that get into the house, or they're entirely too large to squash; they'd make a mess. If my wife sees a spider and gets scared, I put it outside. It helps that there are no (common) venomous spiders where I live.

Mosquitos, crane flies, flies, and wasps are all fair game though.

honestly i have to wonder if at some point spiders will evolve to actively avoid spooking us, i wanna live in a world where orbweaver spiders have the instinct to wait in specific places (like middle of the windows) where we pick them up and move them to a spot where they can set up a web and catch flies for us.