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I pretty much have projects in folders under the area of my life they pertain to -- work, personal, home, etc. I do this to see if I have a "balance" of projects going. I also have folders for "someday/maybe" that I am constantly evolving. I have many mini-projects there. I add tasks as I think of them and they usually end up evolving into a real project or getting deleted in my weekly reviews as I realize I just really don't want to undertake those projects. I find my folders are constantly evolving and changing, as my focus switches. I try not to go more than two folders deep though. Others may find more "precise" organizing to be beneficial.

I agree with the previous posters to let your system evolve. It's also great reading about ways people organize on the forum here. I've successfully *borrowed* some ideas and also tried out others, which quickly got discarded as they just don't work for me.