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Where you should be: Account > Privacy settings page.
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Another new feature for Facebook users: this feature allows you to limit who can see posts and statuses that you have already put on Facebook in bulk -- saving you from a lot of time, having to go through each post you have made.
It's a very useful setting, but it can not be undone once you have done it. This is only for those who think they may have posts that are publicly available, for everyone on or off Facebook to see.
1. Click Manage Past Post Visibility under the Limit the Audience for Past Posts heading.
In a nutshell, this removes the 'Public' permission on all of your past posts, from status updates to uploaded photos, and replaces it with 'Friends' so that only your friends can see those posts, and not everyone whether they have their own Facebook account or not.
Remember: any posts which have friends tagged in them, will be made available to that person's friends, as well.
2. To run this feature, click Limit Old Posts.
Remember: this cannot be undone once you have clicked Confirm.
3. If you are sure you want to go ahead, click the Confirm button.