How are you organizing baby clothes?

I've racked up on a lot of baby clothes between hand-me-downs and baby showers. I originally planned to hang everything (onsies and sleepers included) but I'm out of hangers and closet space - not complaining, this is a great problem to have. 
Here's my question: What are you hanging and what's going in drawers? Would love to hear how everyone (especially all my Type A girls) are categorizing and organizing their baby's clothes. I've already got everything sorted by size - everything newborn to 12 months I'm either hanging or putting in her dresser - 12 mo+ items are going in bins in the attic till we need them. If using drawers, how are you differentiating like items for different sizes (i.e. newborn pants and 6 months pants in the same drawer)?