Adding folders, fortunately, is easy; you can name them as you like, of course, and organize the Outlook.com folders themselves in hierarchies using sub-folders. (To organize messages, you can also use categories.)
Create Folders to Organize Mail in Outlook.com
To create a new folder to hold emails in Outlook.com:
- Make sure the Folders list is expanded in Outlook.com.
- If you do not see your list of folders, click Folders in, for instance, your Outlook.com inbox.
- Click New folder.
- Type the name for the new folder.
- Hit Enter.
Create a New Sub-Folder in Outlook.com
To set up a new folder beneath an existing folder:
- Make sure the Folders list is expanded.
- Click on the folder beneath which you want to create the new folder.
- Select New subfolder from the context menu that appears.
- Type the name for the new sub-folder.
- You can re-use a folder name from the top level, or from sub-folders to other folders.
- Hit Enter.
Re-Arrange Folders in Outlook.com
To make a folder a sub-folder of another folder in Outlook.com:
- Make sure your list of Outlook.com folders is visible under Folders.
- Click the folder you want to move beneath another or make a root folder with the left mouse button.
- Drag the mouse cursor over the folder you wish to make the parent of the folder you are dragging.
- Drag over Folders to move the folder to the folder root.
- Release the mouse button.
(Updated November 2012)

