We are going to use Layer Groups to organize our layers. They used to be called Layer Sets so if you run across any older tutorials, they are the same thing. Layer Groups are folders that you can use to organize your layers. When you start to have Photoshop files that have a few dozen layers, it makes sense to put them into collapsible layer sets to make your file easier to work with. Click on the layer set button pictured below. A new Layer Group folder called Group 1 should appear.
I am going to place my layers into the Group by dragging them into the group. Make sure you stack the layers in the correct order. Next I will name the group "tree" by double clicking the words "Group 1".
You may click on the downward pointing triangle next to the group to collapse or expand the group. When you get to working with files with 20 or so layers, this really comes in handy.