Tables Referencing themselves As Foreign Keys

Hi,

I'm still new to this so if I'm sounding dumb or my premise is flawed
please forgive me.  I have a DB design which contains a table which has
categories, each category has a parent category, and is recursed until
the top category is reached, in order to create breadcrumbs.  Is there
any problem with using foreign keys to reference the same table?  So a
when category is added the CatParent MUST be present as a CatID

CatID - Serial
CatParent - int4 - References CatID
CatName - Text

Am I likeley to come unstuck with this?

Cheers

T.