diff --git a/src/components/layout/Navbar.vue b/src/components/layout/Navbar.vue
index 21fd310..40e0fad 100644
--- a/src/components/layout/Navbar.vue
+++ b/src/components/layout/Navbar.vue
@@ -1,74 +1,43 @@
 <template>
   <nav class="sticky top-0 z-50 w-full glass border-b border-gray-200/50 dark:border-gray-800/50">
-    <div class="max-w-7xl mx-auto px-4 sm:px-6 lg:px-8">
+    <div class="w-full px-4 sm:px-6 lg:px-8">
       <div class="flex items-center justify-between h-16">
-        <!-- Logo & Brand -->
-        <div class="flex-shrink-0 flex items-center gap-3">
-          <router-link to="/" class="flex items-center gap-2 group">
-            <div class="w-8 h-8 rounded-lg bg-gray-900 dark:bg-white flex items-center justify-center shadow-lg group-hover:scale-105 transition-transform duration-200">
-              <i class="fas fa-layer-group text-white dark:text-gray-900 text-sm"></i>
-            </div>
-            <span class="font-bold text-xl tracking-tight text-gray-900 dark:text-white group-hover:opacity-80 transition-opacity"> Spritesheet generator </span>
-          </router-link>
+        <!-- Left Side: Logo & Navigation -->
+        <div class="flex items-center gap-8">
+          <NavbarLogo />
+          
+          <!-- Desktop Navigation -->
+          <div class="hidden md:flex items-center">
+            <NavbarLinks />
+          </div>
         </div>
 
-        <!-- Desktop Navigation -->
-        <div class="hidden md:flex items-center gap-6">
-          <div class="flex items-center gap-4 text-sm font-medium text-gray-600 dark:text-gray-400">
-            <router-link to="/" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">Generator</router-link>
-            <router-link to="/blog" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">Blog</router-link>
-            <router-link to="/about" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">About</router-link>
-            <router-link to="/faq" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">FAQ</router-link>
-          </div>
-
-          <div class="h-4 w-px bg-gray-200 dark:bg-gray-700"></div>
-
+        <!-- Right Side: Actions & User -->
+        <div class="hidden md:flex items-center gap-5">
           <!-- Auth & Projects -->
-          <div v-if="authStore.user" class="flex items-center gap-3">
-             <span class="text-sm font-medium text-gray-700 dark:text-gray-300 truncate max-w-[150px]">
-                 {{ authStore.user.email }}
-             </span>
-             <button @click="openSaveModal" class="btn btn-primary btn-sm">
-                 <i class="fas fa-save mr-1.5"></i> Save
-             </button>
-             <button @click="isProjectListOpen = true" class="btn btn-secondary btn-sm">
-                 <i class="fas fa-folder-open mr-1.5"></i> Projects
-             </button>
-             <button @click="authStore.logout()" class="text-sm text-gray-500 hover:text-red-500 transition-colors" title="Logout">
-                <i class="fas fa-sign-out-alt"></i>
-             </button>
-          </div>
+          <template v-if="authStore.user">
+              <NavbarProjectActions 
+                @open-save-modal="openSaveModal"
+                @open-project-list="isProjectListOpen = true"
+              />
+              
+              <div class="h-4 w-px bg-gray-200 dark:bg-gray-700"></div>
+
+              <!-- User Dropdown -->
+              <NavbarUserMenu @open-auth-modal="isAuthModalOpen = true" />
+          </template>
+          
           <div v-else>
-              <button @click="isAuthModalOpen = true" class="btn btn-primary btn-sm">
+              <button @click="isAuthModalOpen = true" class="btn btn-primary btn-sm shadow-indigo-500/20 shadow-lg">
                   Login / Register
               </button>
           </div>
 
           <div class="h-4 w-px bg-gray-200 dark:bg-gray-700"></div>
 
-          <div class="flex items-center gap-3">
-            <a href="https://gitea.adhd.sh/root/spritesheet-generator" target="_blank" rel="noopener noreferrer" class="text-gray-500 hover:text-gray-900 dark:text-gray-400 dark:hover:text-white transition-colors" title="Source Code">
-              <i class="fab fa-github text-lg"></i>
-            </a>
-            <a href="https://discord.gg/JTev3nzeDa" target="_blank" rel="noopener noreferrer" class="text-gray-500 hover:text-[#5865F2] dark:text-gray-400 dark:hover:text-[#5865F2] transition-colors" title="Discord Community">
-              <i class="fab fa-discord text-lg"></i>
-            </a>
-            <button @click="$emit('open-help')" class="text-gray-500 hover:text-indigo-600 dark:text-gray-400 dark:hover:text-indigo-400 transition-colors" title="Help">
-              <i class="fas fa-question-circle text-lg"></i>
-            </button>
-            <DarkModeToggle />
-          </div>
+          <NavbarSocials @open-help="$emit('open-help')" />
         </div>
 
-        <AuthModal :is-open="isAuthModalOpen" @close="isAuthModalOpen = false" />
-        <ProjectList :is-open="isProjectListOpen" @close="isProjectListOpen = false" @open-project="handleOpenProject" />
-        <SaveProjectModal 
-            :is-open="isSaveProjectModalOpen" 
-            :initial-name="projectStore.currentProject?.name"
-            @close="isSaveProjectModalOpen = false" 
-            @save="handleSaveProject" 
-        />
-
         <!-- Mobile Menu Button -->
         <div class="flex md:hidden">
           <DarkModeToggle />
@@ -80,37 +49,16 @@
     </div>
 
     <!-- Mobile Menu -->
-    <div v-show="isMobileMenuOpen" class="md:hidden border-t border-gray-200 dark:border-gray-800 bg-white/95 dark:bg-gray-950/95 backdrop-blur-xl">
-      <div class="px-2 pt-2 pb-3 space-y-1">
-        <router-link to="/" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="isMobileMenuOpen = false">Generator</router-link>
-        <router-link to="/blog" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="isMobileMenuOpen = false">Blog</router-link>
-        <router-link to="/about" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="isMobileMenuOpen = false">About</router-link>
-        <router-link to="/faq" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="isMobileMenuOpen = false">FAQ</router-link>
-        <div class="border-t border-gray-200 dark:border-gray-800 my-2 pt-2 flex gap-4 px-3">
-          <a href="https://gitea.adhd.sh/root/spritesheet-generator" target="_blank" class="text-gray-500 hover:text-gray-900 dark:text-gray-400 dark:hover:text-white">
-            <i class="fab fa-github text-xl"></i>
-          </a>
-          <a href="https://discord.gg/JTev3nzeDa" target="_blank" class="text-gray-500 hover:text-[#5865F2] dark:text-gray-400 dark:hover:text-[#5865F2]">
-            <i class="fab fa-discord text-xl"></i>
-          </a>
-          <button
-            @click="
-              $emit('open-help');
-              isMobileMenuOpen = false;
-            "
-            class="text-gray-500 hover:text-indigo-600 dark:text-gray-400 dark:hover:text-indigo-400"
-          >
-            <i class="fas fa-question-circle text-xl"></i>
-          </button>
-        </div>
-      </div>
-    </div>
+    <NavbarMobileMenu 
+      :is-open="isMobileMenuOpen" 
+      @close="isMobileMenuOpen = false" 
+      @open-help="$emit('open-help')"
+    />
   </nav>
 </template>
 
 <script setup lang="ts">
-  import { ref } from 'vue';
-  import { RouterLink } from 'vue-router';
+  import { ref, toRef } from 'vue';
   import DarkModeToggle from '../utilities/DarkModeToggle.vue';
   import { useAuthStore } from '@/stores/useAuthStore';
   import AuthModal from '@/components/auth/AuthModal.vue';
@@ -120,9 +68,16 @@
   import { useSettingsStore } from '@/stores/useSettingsStore';
   import { useExportLayers } from '@/composables/useExportLayers';
   import { useLayers } from '@/composables/useLayers';
-  import { toRef } from 'vue';
 
-  defineEmits(['open-help']); // Removed 'open-project' since we handle it here
+  // Sub-components
+  import NavbarLogo from './navbar/NavbarLogo.vue';
+  import NavbarLinks from './navbar/NavbarLinks.vue';
+  import NavbarProjectActions from './navbar/NavbarProjectActions.vue';
+  import NavbarUserMenu from './navbar/NavbarUserMenu.vue';
+  import NavbarSocials from './navbar/NavbarSocials.vue';
+  import NavbarMobileMenu from './navbar/NavbarMobileMenu.vue';
+
+  defineEmits(['open-help']); 
 
   const isMobileMenuOpen = ref(false);
   const isAuthModalOpen = ref(false);
@@ -165,14 +120,8 @@
       try {
           const data = await generateProjectJSON();
           
-          if (projectStore.currentProject && projectStore.currentProject.name === name) { // Simple check, ideally check ID but UI only exposes name edit on save for new projects or overwrite? 
-              // Actually SaveProjectModal allows editing name.
-              // If it's the same project, we update.
+          if (projectStore.currentProject && projectStore.currentProject.name === name) {
               await projectStore.updateProject(projectStore.currentProject.id, data);
-              // Update name if changed? updateProject signature might need name.
-              // current implementation of updateProject only updates data.
-              // To update name we need to change store or backend. 
-              // For now, let's just update data.
           } else {
               await projectStore.createProject(name, data);
           }
@@ -182,3 +131,4 @@
       }
   };
 </script>
+
diff --git a/src/components/layout/navbar/NavbarLinks.vue b/src/components/layout/navbar/NavbarLinks.vue
new file mode 100644
index 0000000..5549a0f
--- /dev/null
+++ b/src/components/layout/navbar/NavbarLinks.vue
@@ -0,0 +1,12 @@
+<template>
+  <div class="flex items-center gap-4 text-sm font-medium text-gray-600 dark:text-gray-400">
+    <router-link to="/" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">Generator</router-link>
+    <router-link to="/blog" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">Blog</router-link>
+    <router-link to="/about" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">About</router-link>
+    <router-link to="/faq" class="hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors">FAQ</router-link>
+  </div>
+</template>
+
+<script setup lang="ts">
+import { RouterLink } from 'vue-router';
+</script>
diff --git a/src/components/layout/navbar/NavbarLogo.vue b/src/components/layout/navbar/NavbarLogo.vue
new file mode 100644
index 0000000..a93a3b9
--- /dev/null
+++ b/src/components/layout/navbar/NavbarLogo.vue
@@ -0,0 +1,14 @@
+<template>
+  <div class="flex-shrink-0 flex items-center gap-3">
+    <router-link to="/" class="flex items-center gap-2 group">
+      <div class="w-8 h-8 rounded-lg bg-gray-900 dark:bg-white flex items-center justify-center shadow-lg group-hover:scale-105 transition-transform duration-200">
+        <i class="fas fa-layer-group text-white dark:text-gray-900 text-sm"></i>
+      </div>
+      <span class="font-bold text-xl tracking-tight text-gray-900 dark:text-white group-hover:opacity-80 transition-opacity"> Spritesheet generator </span>
+    </router-link>
+  </div>
+</template>
+
+<script setup lang="ts">
+import { RouterLink } from 'vue-router';
+</script>
diff --git a/src/components/layout/navbar/NavbarMobileMenu.vue b/src/components/layout/navbar/NavbarMobileMenu.vue
new file mode 100644
index 0000000..7d476ea
--- /dev/null
+++ b/src/components/layout/navbar/NavbarMobileMenu.vue
@@ -0,0 +1,46 @@
+<template>
+  <transition
+    enter-active-class="transition ease-out duration-200"
+    enter-from-class="transform opacity-0 -translate-y-2"
+    enter-to-class="transform opacity-100 translate-y-0"
+    leave-active-class="transition ease-in duration-150"
+    leave-from-class="transform opacity-100 translate-y-0"
+    leave-to-class="transform opacity-0 -translate-y-2"
+  >
+    <div v-show="isOpen" class="md:hidden border-t border-gray-200 dark:border-gray-800 bg-white/95 dark:bg-gray-950/95 backdrop-blur-xl absolute top-16 left-0 w-full z-40 shadow-lg">
+      <div class="px-2 pt-2 pb-3 space-y-1">
+        <router-link to="/" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="$emit('close')">Generator</router-link>
+        <router-link to="/blog" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="$emit('close')">Blog</router-link>
+        <router-link to="/about" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="$emit('close')">About</router-link>
+        <router-link to="/faq" class="block px-3 py-2 rounded-md text-base font-medium text-gray-700 dark:text-gray-200 hover:bg-gray-50 dark:hover:bg-gray-800 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors" @click="$emit('close')">FAQ</router-link>
+        <div class="border-t border-gray-200 dark:border-gray-800 my-2 pt-2 flex gap-4 px-3">
+          <a href="https://gitea.adhd.sh/root/spritesheet-generator" target="_blank" class="text-gray-500 hover:text-gray-900 dark:text-gray-400 dark:hover:text-white">
+            <i class="fab fa-github text-xl"></i>
+          </a>
+          <a href="https://discord.gg/JTev3nzeDa" target="_blank" class="text-gray-500 hover:text-[#5865F2] dark:text-gray-400 dark:hover:text-[#5865F2]">
+            <i class="fab fa-discord text-xl"></i>
+          </a>
+          <button
+            @click="
+              $emit('open-help');
+              $emit('close');
+            "
+            class="text-gray-500 hover:text-indigo-600 dark:text-gray-400 dark:hover:text-indigo-400"
+          >
+            <i class="fas fa-question-circle text-xl"></i>
+          </button>
+        </div>
+      </div>
+    </div>
+  </transition>
+</template>
+
+<script setup lang="ts">
+import { RouterLink } from 'vue-router';
+
+defineProps<{
+  isOpen: boolean;
+}>();
+
+defineEmits(['close', 'open-help']);
+</script>
diff --git a/src/components/layout/navbar/NavbarProjectActions.vue b/src/components/layout/navbar/NavbarProjectActions.vue
new file mode 100644
index 0000000..c3abf18
--- /dev/null
+++ b/src/components/layout/navbar/NavbarProjectActions.vue
@@ -0,0 +1,43 @@
+<template>
+  <div class="flex items-center gap-3 mr-2">
+    <div class="flex items-center gap-2 group">
+      <div class="text-right hidden lg:block">
+        <p class="text-[10px] uppercase tracking-wider font-bold text-gray-400 dark:text-gray-500 mb-[-2px]">Current Project</p>
+        <button 
+          @click="$emit('open-save-modal')" 
+          class="text-sm font-bold text-gray-800 dark:text-gray-200 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors truncate max-w-[160px]"
+          title="Rename Project"
+        >
+          {{ projectStore.currentProject?.name || 'Untitled Project' }}
+        </button>
+      </div>
+      
+      <!-- Mobile/Tablet simplified view -->
+      <button 
+        @click="$emit('open-save-modal')" 
+        class="lg:hidden text-sm font-bold text-gray-800 dark:text-gray-200 hover:text-indigo-600 dark:hover:text-indigo-400 transition-colors truncate max-w-[120px]"
+      >
+        {{ projectStore.currentProject?.name || 'Untitled' }}
+      </button>
+    </div>
+
+    <div class="h-8 w-px bg-gray-200 dark:bg-gray-700 mx-1"></div>
+
+    <div class="flex items-center gap-1">
+       <button @click="$emit('open-save-modal')" class="w-8 h-8 rounded-lg flex items-center justify-center text-gray-500 hover:text-indigo-600 hover:bg-indigo-50 dark:hover:bg-indigo-900/30 transition-all" title="Save Project">
+          <i class="fas fa-save"></i>
+      </button>
+      <button @click="$emit('open-project-list')" class="w-8 h-8 rounded-lg flex items-center justify-center text-gray-500 hover:text-indigo-600 hover:bg-indigo-50 dark:hover:bg-indigo-900/30 transition-all" title="My Projects">
+          <i class="fas fa-folder-open"></i>
+      </button>
+    </div>
+  </div>
+</template>
+
+<script setup lang="ts">
+import { useProjectStore } from '@/stores/useProjectStore';
+
+defineEmits(['open-save-modal', 'open-project-list']);
+
+const projectStore = useProjectStore();
+</script>
diff --git a/src/components/layout/navbar/NavbarSocials.vue b/src/components/layout/navbar/NavbarSocials.vue
new file mode 100644
index 0000000..568d025
--- /dev/null
+++ b/src/components/layout/navbar/NavbarSocials.vue
@@ -0,0 +1,20 @@
+<template>
+  <div class="flex items-center gap-3">
+    <a href="https://gitea.adhd.sh/root/spritesheet-generator" target="_blank" rel="noopener noreferrer" class="text-gray-500 hover:text-gray-900 dark:text-gray-400 dark:hover:text-white transition-colors" title="Source Code">
+      <i class="fab fa-github text-lg"></i>
+    </a>
+    <a href="https://discord.gg/JTev3nzeDa" target="_blank" rel="noopener noreferrer" class="text-gray-500 hover:text-[#5865F2] dark:text-gray-400 dark:hover:text-[#5865F2] transition-colors" title="Discord Community">
+      <i class="fab fa-discord text-lg"></i>
+    </a>
+    <button @click="$emit('open-help')" class="text-gray-500 hover:text-indigo-600 dark:text-gray-400 dark:hover:text-indigo-400 transition-colors" title="Help">
+      <i class="fas fa-question-circle text-lg"></i>
+    </button>
+    <DarkModeToggle />
+  </div>
+</template>
+
+<script setup lang="ts">
+import DarkModeToggle from '../../utilities/DarkModeToggle.vue';
+
+defineEmits(['open-help']);
+</script>
diff --git a/src/components/layout/navbar/NavbarUserMenu.vue b/src/components/layout/navbar/NavbarUserMenu.vue
new file mode 100644
index 0000000..2f07feb
--- /dev/null
+++ b/src/components/layout/navbar/NavbarUserMenu.vue
@@ -0,0 +1,76 @@
+<template>
+  <div v-if="authStore.user" class="flex items-center gap-4">
+    <div class="relative" ref="userMenuRef">
+        <button 
+          @click="isUserMenuOpen = !isUserMenuOpen"
+          class="w-9 h-9 rounded-full bg-gradient-to-br from-indigo-500 to-purple-600 text-white font-bold text-sm flex items-center justify-center shadow-md hover:shadow-lg transition-all border-2 border-white dark:border-gray-800"
+        >
+            {{ userInitials }}
+        </button>
+
+        <transition
+          enter-active-class="transition ease-out duration-200"
+          enter-from-class="transform opacity-0 scale-95"
+          enter-to-class="transform opacity-100 scale-100"
+          leave-active-class="transition ease-in duration-75"
+          leave-from-class="transform opacity-100 scale-100"
+          leave-to-class="transform opacity-0 scale-95"
+        >
+          <div v-if="isUserMenuOpen" class="absolute right-0 mt-2 w-56 bg-white dark:bg-gray-900 rounded-xl shadow-xl border border-gray-200 dark:border-gray-800 overflow-hidden z-50">
+              <div class="p-4 border-b border-gray-100 dark:border-gray-800 bg-gray-50/50 dark:bg-gray-800/50">
+                  <p class="text-xs text-gray-500 dark:text-gray-400 uppercase font-semibold tracking-wider mb-1">Signed in as</p>
+                  <p class="text-sm font-medium text-gray-900 dark:text-white truncate" :title="authStore.user.email">{{ authStore.user.email }}</p>
+              </div>
+              <div class="p-1">
+                  <button 
+                      @click="handleLogout"
+                      class="w-full text-left px-3 py-2 text-sm text-gray-700 dark:text-gray-300 hover:bg-red-50 dark:hover:bg-red-900/20 hover:text-red-600 dark:hover:text-red-400 rounded-lg transition-colors flex items-center gap-2"
+                  >
+                      <i class="fas fa-sign-out-alt"></i> Sign out
+                  </button>
+              </div>
+          </div>
+        </transition>
+    </div>
+  </div>
+  <div v-else>
+      <button @click="$emit('open-auth-modal')" class="btn btn-primary btn-sm shadow-indigo-500/20 shadow-lg">
+          Login / Register
+      </button>
+  </div>
+</template>
+
+<script setup lang="ts">
+import { ref, computed, onMounted, onUnmounted } from 'vue';
+import { useAuthStore } from '@/stores/useAuthStore';
+
+defineEmits(['open-auth-modal']);
+
+const authStore = useAuthStore();
+const isUserMenuOpen = ref(false);
+const userMenuRef = ref<HTMLElement | null>(null);
+
+const userInitials = computed(() => {
+  if (!authStore.user?.email) return '??';
+  return authStore.user.email.substring(0, 2).toUpperCase();
+});
+
+const closeUserMenu = (e: MouseEvent) => {
+    if (userMenuRef.value && !userMenuRef.value.contains(e.target as Node)) {
+        isUserMenuOpen.value = false;
+    }
+};
+
+const handleLogout = () => {
+    isUserMenuOpen.value = false;
+    authStore.logout();
+};
+
+onMounted(() => {
+    document.addEventListener('click', closeUserMenu);
+});
+
+onUnmounted(() => {
+    document.removeEventListener('click', closeUserMenu);
+});
+</script>