well, I take "folding" to mean "putting away". Eg, putting your socks in a drawer (usually balled up together, but I guess you could just toss individuals in there).. hanging up tshirts and sweatshirts, putting away your jeans and workout clothes..
Some kind of organization is ideal, because I often live out of the clean laundry hamper and it's a chore to hunt for stuff every time you need clothes.
When I'm not living with others, this problem goes away. I start out with things in the wardrobe and drawers but as I get distracted by the things I actually want to do I gravitate towards a sort of inbox(clean)/outbox(dirty) 'floordrobe' system. It's surprisingly efficient.
Some kind of organization is ideal, because I often live out of the clean laundry hamper and it's a chore to hunt for stuff every time you need clothes.