Use folders to organize your files in the vault in the same way you organize folders on your computer.
The folder structure inside the vault should be identical to the folder structure of the project on the local computer. The root directory in a vault is represented as $/.
![](https://help.autodesk.com/cloudhelp/2024/ENU/Vault-Essentials/images/GUID-8A00592F-89D4-47D0-8A81-44D64679B10A.png)
Vault file folders
When creating file folders, click the existing folder that you want to create a new folder under, and then right-click and select New Folder on the context-menu.
If you are creating the first folder in the vault, click the Vault Explorer root (defined by $). Folders can be renamed or moved if required.
Library folders
Library files are typically static in nature, reused often in many different designs, and are standards within an organization. A file becomes a library file by checking a file into a Library folder in the vault. Library folders can only be created directly off the root level of the vault.