diff --git a/Main.sublime-menu b/Main.sublime-menu
new file mode 100644
index 0000000..702400b
--- /dev/null
+++ b/Main.sublime-menu
@@ -0,0 +1,39 @@
+[
+    {
+        "caption": "Preferences",
+        "mnemonic": "n",
+        "id": "preferences",
+        "children":
+        [
+            {
+                "caption": "Package Settings",
+                "mnemonic": "P",
+                "id": "package-settings",
+                "children":
+                [
+                    {
+                        "caption": "Scratchpad",
+                        "children":
+                        [
+                            {
+                                "command": "open_file",
+                                "args": {
+                                    "file": "${packages}/Scratchpad/Scratchpad.sublime-settings"
+                                },
+                                "caption": "Settings – Default"
+                            },
+                            {
+                                "command": "open_file",
+                                "args": {
+                                    "file": "${packages}/User/Scratchpad.sublime-settings"
+                                },
+                                "caption": "Settings – User"
+                            },
+                            { "caption": "-" }
+                        ]
+                    }
+                ]
+            }
+        ]
+    }
+]
\ No newline at end of file
diff --git a/README.md b/README.md
index 0f3dc56..66be49b 100644
--- a/README.md
+++ b/README.md
@@ -24,6 +24,29 @@ You can also type "Scratch Pad" in command panel(ctrl+shift+p) to edit the scrat
 
 This will help you stay organized with all your notes, as it will allow you to easily search your file contents. The time-stamp is a very useful feature to organize your notes.
 
+## Configuration
+
+You can customize the location of the scratchpad file through the plugin settings:
+
+1. Go to `Preferences → Package Settings → Scratchpad → Settings – User`
+2. Add the following configuration:
+
+```json
+{
+    // Path to your scratchpad file
+    "scratchpad_path": "~/Documents/my_notes.txt"
+}
+```
+
+### Supported Path Formats:
+- **Absolute paths**: `/home/username/notes/scratchpad.txt`
+- **Paths with tilde**: `~/Documents/scratchpad.txt`
+- **Windows paths**: `C:\\Users\\username\\Documents\\scratchpad.txt`
+
+If no custom path is specified, the scratchpad file will be created in the Sublime Text configuration directory (default behavior).
+
+The plugin will automatically create the directory structure if it doesn't exist.
+
 ## Installation
 
 You can install this plugin from package control. Once you have package control installed type
diff --git a/Scratchpad.py b/Scratchpad.py
index ee6e8d5..4163eea 100644
--- a/Scratchpad.py
+++ b/Scratchpad.py
@@ -1,7 +1,8 @@
 from sublime_plugin import WindowCommand, TextCommand
-from sublime import packages_path, run_command, ENCODED_POSITION
+from sublime import packages_path, run_command, ENCODED_POSITION, load_settings, save_settings
 from time import strftime
-from os.path import isfile
+from os.path import isfile, expanduser, join, dirname
+import os
 
 headerText = """
     _____                _       _                     _
@@ -15,30 +16,60 @@
 
 """
 
+def get_scratchpad_file():
+    """Get the scratchpad file path from settings or use default."""
+    settings = load_settings('Scratchpad.sublime-settings')
+    
+    # Get custom path from settings
+    custom_path = settings.get('scratchpad_path')
+    
+    if custom_path:
+        # Expand user home directory if present
+        custom_path = expanduser(custom_path)
+        
+        # Ensure the directory exists
+        directory = dirname(custom_path)
+        if directory and not os.path.exists(directory):
+            try:
+                os.makedirs(directory)
+            except OSError:
+                # Fall back to default if directory creation fails
+                return packages_path()[:-8] + 'scratchpad.txt'
+        
+        return custom_path
+    else:
+        # Use default location (Sublime Text config folder)
+        return packages_path()[:-8] + 'scratchpad.txt'
+
 class OpenScratchpadCommand(WindowCommand):
-  def run(self):
-    scratchpadFile = packages_path()[:-8]+'scratchpad.txt'
-    checkAndFillEmpty(scratchpadFile)
-    self.window.open_file(scratchpadFile)
+    def run(self):
+        scratchpadFile = get_scratchpad_file()
+        checkAndFillEmpty(scratchpadFile)
+        self.window.open_file(scratchpadFile)
 
 class ScratchpadCommand(WindowCommand):
-  def run(self):
-    scratchpadFile = packages_path()[:-8]+'scratchpad.txt'
-    global headerText
-    checkAndFillEmpty(scratchpadFile)
-    count = putTimeStamp(scratchpadFile)
-    self.window.open_file(scratchpadFile+':'+str(count+1), ENCODED_POSITION)
+    def run(self):
+        scratchpadFile = get_scratchpad_file()
+        global headerText
+        checkAndFillEmpty(scratchpadFile)
+        count = putTimeStamp(scratchpadFile)
+        self.window.open_file(scratchpadFile + ':' + str(count + 1), ENCODED_POSITION)
 
 def checkAndFillEmpty(scratchpadFile):
-  global headerText
-  if not isfile(scratchpadFile):
-    with open(scratchpadFile, "a") as scratchFile:
-      scratchFile.write(headerText)
+    global headerText
+    if not isfile(scratchpadFile):
+        # Ensure directory exists
+        directory = dirname(scratchpadFile)
+        if directory and not os.path.exists(directory):
+            os.makedirs(directory)
+        
+        with open(scratchpadFile, "a") as scratchFile:
+            scratchFile.write(headerText)
 
 def putTimeStamp(scratchpadFile):
-  timeStamp = "\n\n" + strftime("%c") + " : " + "\n" +"========================" + "\n"
-  with open(scratchpadFile, "a") as scratchFile:
-      scratchFile.write(timeStamp)
-  with open(scratchpadFile) as scratchFile:
-    count = sum(1 for line in scratchFile)
-  return count
+    timeStamp = "\n\n" + strftime("%c") + " : " + "\n" + "========================" + "\n"
+    with open(scratchpadFile, "a") as scratchFile:
+        scratchFile.write(timeStamp)
+    with open(scratchpadFile) as scratchFile:
+        count = sum(1 for line in scratchFile)
+    return count
\ No newline at end of file
diff --git a/Scratchpad.sublime-settings b/Scratchpad.sublime-settings
new file mode 100644
index 0000000..1052a69
--- /dev/null
+++ b/Scratchpad.sublime-settings
@@ -0,0 +1,11 @@
+{
+    // Path to the scratchpad file
+    // You can use absolute paths or paths with ~ for home directory
+    // If not specified, defaults to Sublime Text config folder
+    // Examples:
+    // "scratchpad_path": "~/Documents/scratchpad.txt"
+    // "scratchpad_path": "/home/username/notes/scratchpad.txt"
+    // "scratchpad_path": "C:\\Users\\username\\Documents\\scratchpad.txt"
+    
+    "scratchpad_path": null
+}
\ No newline at end of file