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I'm mildly proud of how I categorise my games on Steam and interested to see others' methods
(feddit.nl)
They're in order of likelihood of being played. Craig is a mate of mine who I play with when time permits.
Looking at some of these... I'd never even considered sectioning them by genre - mine's mostly by physical location - if I want to play that game, where's it already installed?
So there's :
Desktop, Laptop, Deck Internal, Deck SD1 (and SD2, 3 & 4 for removable SD cards)
Then like most people, I've got a "Complete" and a "Maybe [person's name]" for ones the missus might enjoy.
The only sort of grouping is "Wheel Games", which is basically driving games, but the type you want to play with wheel & pedals, not just a controller. My wheel and pedals aren't set up permanently, so when they are set up, I pretty much only play all the Euro Truck/Bus Sims, Dirt Rally, F1, Revhead, BeamNG sort of games etc.
I did also use to have lists for my laptop and hand-me-down PC, and one called "need a better computer", but my laptop's since given up the ghost and I have a better computer.