There are many reasons why one would like to use different folders or .pst files in Outlook. The main reasons are it definitely helps in sorting out the mail and for easier retrieval at the later point of time.
If you are working on a project, you might be required to collect all the mails related to that project in a folder and archive it after its completion.
Still, even if you are using a corporate mail account, sometimes you may face the ‘Mailbox Oversize Issue’ as these mails usually has large size file attachments. So you may be required to save all these mails in the project related server and not in the corporate mail server.
Having said the reasons why you might be required to save the mails in data file format (.pst), here is how to create new data file or folders in Outlook 2007.
.PST is the file extension for Personal Folders in Outlook. All the information and mails in the sub-folders within that the folder are saved in the same .pst file.
Follow these steps to create a new .pst file:
Go to File -> Data File Management.

It will open Account Settings and click on the Data File tab. If you already have any .pst files linked with the outlook at that moment. If all the mails are stored in the mail server, it would list as Filename not available.

Click Add and choose from the type of storage (Office Outlook Personal Folders File)
Browse the location where you want to store this .pst file and click Ok.
In the next box, give the Folder a name and give any password if needed.

Click Ok and this new folder will be listed under the Mail Folders.


Creating Sub Folders in Outlook
Once the folder is created you may also want to create sub folders for easy management. Just right click at the folder and choose New Folder. Give a name for the new folder and choose the hierarchy where you want to store the sub folder.

Also see how to backup mails in Outlook?











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