Can iPhone Mail redirect mail to subfolders like the Apple desktop Mail app

No - the iPhone does not include a rules feature to sort recieved messages by category, and you can't create mailboxes with the iPhone's Mail client. The iPhone's Mail client is a compliment to the email client used on your computer for accessing the account, not a replacement for.

With an IMAP account along with storing all user created mailboxes on the server for sorting recieved messages by category, all server stored mailboxes will be available with the iPhone's Mail client and kept synchronized with the server automatically with each email client used to access the account. If you keep the Mail.app on your Mac launched and running, any sorting of received messages to user created server stored mailboxes based on rules with the Mail.app on your Mac will be reflected automatically when accessing the account with the iPhone's Mail client. This is not possible with a POP account.

Already somewhat answered, but if you can leave your computer on, simply set-up as imap. Create a new folders for whatever you want, add a rule to send mail from sender to the specific folder. This is all done on your home computer & your iphone will sync to it. I have the same situation and have found this to be a great help.

To accomplish what you are wanting, you will need to leave the Mail.app on your Mac launched and running. I never shut my Mac down leaving the Mail.app launched and running for my MobileMe account, and only restart my Mac if required after an OS or software update. If you store the account's Junk mailbox on the server with the Mail.app on your Mac, the Mail.app's junk mail filter will be serving as a junk mail filter with the iPhone's Mail client also.

You can move them manually if you are using IMAP, but I am not aware of email rules on the iPhone. Rules and filters on the iPhone mail client sounds like a neat feature for 3.2!!! 🙂

yup