Last time, we talked about relocating your laundry room upstairs. But if that's not an option, consider these suggestions.
First, you might try setting a "container limit", which means you're allowed to accumulate something up to the point where your designated container is full. Once you exceed the container, you have no choice but to take action. Applied to clean laundry, this would mean getting a big bin or basket (if necessary, a REALLY BIG bin or basket) and putting it in the corner of the living room. Clean laundry gets dumped into it straight out of the dryer. A regular folding time is designated—perhaps while watching your favorite TV show or right after school while chatting with the kids about their day. You try to form the habit of folding at that designated time, but if you fall behind at least the laundry is in one spot, contained, rather than spread all over the couch. Just make sure that there's never more laundry than there is room in the container, or you'll need to put in some extra folding time so as not to exceed your container limit.
More on laundry next time!