Unless you like your documents displayed by different categories, you might choose to do what I have done.
Finder : Preferences : General : New Finder windows show: [house icon w/your short username ↕︎]
Finder: Preferences : Sidebar [√] house icon with your user name
Finder : Preferences : Advanced : Keep folders on top: [√] On Desktop
Finder : Preferences : Advanced : When performing a search: [Search the Current Folder ↕︎]
Open a Finder Window, and press ⌘-J to show view options. I have mine set like the following which shows a Finder window with alphabetically sorted folders first, and followed by alphabetically sorted documents by kind (e.g all .html are together, all .txt are together, etc.). I happen to prefer the icon Finder view:
