Yorkster,
If you only knew the can of worms you just opened up with that question! LOL There are many differing opionions on that subject and some of them are quite passionate, mine included!

Both my dogs sleep on the bed and I love every moment of it. I miss them when they are not there!

However, that being said we need to consider the problem you are having with separation anxiety. Until you get this under control you need to make the dog know you are Alpha (leader of the pack) and that you are not going to abandon him. Your pup needs to learn to be content by its self before you can invite it to sleep with you. Take the measures discribed above by letting the dog have "time alone" while you are near but don't make big fusses over him. Make him sleep off the bed for the time being. Set up a comfortable place that is the dogs alone and let him stay there until you think the problem is better. It may take a couple of months but that is better than having the problem forever. Once he does okay when you are not around you can start out gradually to invite the dog onto the bed if that is what you want.

Carrie,
I know you are cringing at this advice. But I did recommend not sleeping in the bed for awhile! LOL