If your outdoor faucet leaks around the handle when you turn it on, you either have a loose packing nut or a bad packing washer. First try tightening the nut with a wrench or pliers. (The size and type of nut varies a bit with faucet styles.) If the nut is tight but the leak persists, shut off the water to the faucet inside the house, remove the faucet handle from the outside faucet and unscrew the nut. You should be able to pull off the old packing washer and take it to a hardware store to find an exact replacement.