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Interesting debate;

I started with a separate Home and Work folder at the top level as suggested by LawDaddy and found this a simple effective way of of keeping projects apart.

However I found that I was switching between the two all the time to find the important items and have since decide to use 'Current' and 'Someday' as my top level folders.

I find that keeping the important (current) items together (regardless of home or work) is more useful that creating a wall between my Home and Work tasks. You could choose to use Home and Work contexts to give you the separate views if/when you need to see things this way. I don't work from home but for me, if I need to call the Gas company for example, I want to see that on my current list and will do it from work if I can.

On a separate note, I like the flagging idea suggested above, I think I'll give that ago

Cheers.