1. I started with a kitchen towel that has a one-way design. I also liked that it had the brown band at the top and bottom which will make an excellent hem. (If your towel doesn't have the band, make a 1-inch hem.)
2. I cut off the top band about 1/4 of an inch below the band.
3. I made the bag a finished 17 inches so I cut 17 1/4 inches from the bottom of the towel. Since the bottom of the towel wasn't straight, I used the design band as my guide and cut 10 inches above it.
4. I cut the end hems off both ends of the top band so it would fit across the top of the towel. Then I pinned the band to the towel and sewed the two together with a quarter inch seam.
5. Next, I folded the towel in half lengthwise (right sides together), pinned the edges together, and sewed them together starting at the top and stopping at the top of the bottom band. You want to leave the bottom band open to insert the elastic later.
6. For the hanger: I cut a strip from the leftover piece of towel 2 inches wide.
7. I finished all four raw edges with a zig zag stitch.
8. I folded in one of the long sides toward the center on the wrong side about 5/8 inch. Then I brought the other long side toward the center of the strip til the hanger measured 7/8 inch. I sewed down the center of the hanger with a zig zag stitch catching the overlapped edges.
9. I attached one end of the hanger to the top of the bag at the seam on the inside, with the right side of the hanger facing the wrong side/inside of the bag, by sewing close to the edge of the hanger and then again close to the top of the bag. This covered up the side seam at the top of the bag. Then I brought the other end of the hanger over and matching the ends stitched it on the bottom edge of the hanger only. In the picture (9) I have made a loop in the hanger to show how it is attached to the bag.
10. I decided to leave the top of the bag open but have elastic in the bottom. You can also thread a piece of ribbon or bias tape through the bottom hem and have a bow. For the elastic option, I cut a piece of 3/8 inch elastic one inch longer than the measurement around the bottom of the bag. With a large safety pin in one end of the elastic, I inserted the safety pin end into the hem of the towel.
11. Then I moved the elastic through the hem until I had pulled most of the elastic through. I stitched across the end and
12 then cut the excess elastic off.
13. I pulled the safety pin end tightening to the desired size for opening to be able to pull bags out, pinned the elastic in place, and
14 sewed across the end and cut the excess elastic off.
15. I turned the bag inside out and now stitched through the band/hem at the bottom of the bag.
And here it is finished.
Here is my Christmas one that has been retired until later in the year.
I crocheted the hanger for it.
Here is a picture of one I made my dil Sara. I used the whole length of the towel. Instead of elastic in the bottom, she has a drawstring from ribbon that secures the bottom and she ties a bow with it.