[Craig]

Your way would work, but I would probably make "photo browser" a folder, "design login screen" a project, and "install security patch an action in a single-action list within that same folder. I think conceptually, for me, non-complete-able groupings fit the folder idea better, and I reserve the project level for complete-able things. Note that you can also do more things with a project than an action group (e.g., I think, place on hold, or drop, or focus), which might argue for my setup, too.