Level of gear drops for a character is determined by the highest equipable gear anywhere on your account (this character, other characters, vault, postmaster), not what you have equipped. Between 750 and 900, every drop should be a few points higher than max. Between 900 and 950, powerful drops become available while non-powerful (the rest) drop 0-3 levels below your max. After 950 you can only advance with 'pinnacle' rewards and there's no point in worrying about it.
So— hang onto the highest item in every slot even if you don't want it, at least until it's surpassed , but feel free to toss it into the vault. Infuse only when you need to use it in an activity that demands it be higher power.
