I first sort by catagory home dec, fashion, quilting. Then it is by weight and color. Those are broke down by size and then color. All that being said, I store all the fabric together that are for a certain quilt. Either stacked on a shelf, or in a clear bag. This saves me searching and wondering where is that dang fabric!
The tiny scraps are in a bin all together right now. I am not going to sort them until I use them in a crazy quilt.