In my post on How To Achieve A Zero Inbox in Gmail I briefly touch on the Labels function. For me this is single biggest factor in my ability to keep my inbox under control.
Gmail gives you an amazing amount of storage space. The above image shows that I am only using 2% of my allocated storage space. That 2% is actually 182MB which I have stored under 40 different Labels. My total available storage space on Gmail is currently 7297MB. This really does mean that I can keep as many emails as I please, however to do this efficiently I need to use Labels.
To apply a Label to an email, you need to first make sure that you have checked the appropriate email, as highlighted by the green arrow. Once this has been done then, click on the Label button. You will then see a drop down menu. As I have already set up labels, you will see that I have a number of labels to choose from. To create your first or a new label, simply click on New Label as highlighted by the red arrow.
Once you have clicked on archive, Gmail will then remove the email from the inbox and locate it the Labels box found on the lower left hand side of your Gmail screen. This is what part of my Label box looks like above. So when I want to go back to an email, I can head straight to the appropriate label and find it quickly.