Organizing my GMAIL inbox

I NEED FOLDERS TO STAY ORGANIZED!!! My only gripe with gmail, or at least the only one I'm writing about, is that it doesn't have folders. I have been limping by using labels so I can organize some of my emails. But the issue is that when I open my inbox I have 5972 messages. I like to read an email and then move it to it's folder and get it out of my inbox. I know at that point, anything left in said inbox needs attention or hasn't been read...simple! But no, all email stay in the inbox...or does it? What is this button here? Archive...sweet, sweet archive. You were there all along, feeling neglected, useless. Why did I not see you sooner?!?! Seriously, I was ready to stop using gmail's online interface and use a mail client. But now with a clever use of a few techniques, I get folder-like behavior in gmail. Even better than that, I can put multiple labels on one email...can't do that with folders. An added bonus is that my iPhone actually makes folders from my labels. Now there is no more scrolling though tons of messages looking for that one email that will make or break you. Here is what I do: When an email comes in I read it to determine my next move. I then create and/or add whatever labels need to be applied, I even have a 'To-Do' label for thing I want to do before the day is over. Once I do that, I hit the 'Archive' button. Gone from my inbox and stored safely under the label and the 'All Mail' folder. Other ideas: For any of my subscription emails I also create and action that automatically adds a label and archives it. Very handy as I subscribe to a lot of newsletters and other communications. The idea is that only important things stay in the inbox. Also, if you like sub-folders, and who doesn't, try this great Firefox add-on. Give it a try, see what you can do and if you have any thoughts, please let me know.