Currently I have it in a large multi-drawer plastic unit on wheels, a couple 3-drawer units on wheels and in plastic bags in a basket. Plus of course, all the WIPs are in various knitting bags.
In the near future
(once DD12 bedroom is finished), I am turning a spare bedroom
(DS13 old room) into a "craft" room.

I have some bookcases that I'd like to find nice baskets to put the yarn in. I still plan on keeping the yarn in plastic bags though.
I say "craft" room because I only knit and crochet. I did buy a sewing machine to line a bag I knitted.
I'm still trying to decide on the room setup. If I want wood floors or new carpet, what color, etc. Any ideas, tips, suggestions?!