Dropbox/ contains stuff that I’ll need when I’m away from home.
Downloads/ gets purged every few years of stale downloads.
Documents/ gets mission-critical stuff that needs to be backed up but does not need to be in the cloud.
Pictures/ has all my non-Photos photos, including a quarter terabyte of DSLR raw files.
Photos and iTunes put their stuff wherever they do.
I have files from 1999 in my home directory so I’m not sure I can offer any advice on tidying up :)