Why is the 680R resistor 3W?
If i use 0.35A with 680R resistance i come up with something like a 1w resistor?
Yes, that is correct. If you run a 1W rated resistor at 1W dissipation, it will last a few years. If you run a 1W resistor at 0.3W dissipation, it will last 30+ years. Additionally, the 1W resistor running at 1W dissipation will produce enough heat that it can damage other nearby components.
If you're building throwaway electronics or you have forced air cooling, then you can push the limits a bit more.