Pro tip: Organize your tools by how often you actually use them
Instead of the traditional pegboard setup I started grouping my most used stuff at eye level and arm's reach, medium use stuff a bit further away, and the random specialty tools in a drawer. Sounds simple but man it's changed how I work on projects. Spending less time hunting for stuff and more time actually building. Also made labels for everything even though I felt like an idiot doing it. Turns out my teenage son can actually find things now when he needs them which is honestly the biggest win here.
This is genius. I had everything on the pegboard but half my stuff I haven't touched in years. Just reorganized last weekend and now I actually know where my most used screwdrivers are instead of digging through 47 of them.
Question though - when you say arm's reach, are you accounting for both sides of your workbench or just one? I'm trying to set mine up but my space is kind of awkward.