Here is a very cool craft. Cool because it's simple, makes use of something everyone has hanging the house, AND the end product is a very useful item. Kids will love to make their own special T-Shirt Bag. And I'm thinking this might even be a fun actvitiy for a moms' night out. I can't wait to suggest it.
Lee Meredith at leethal.net has a great tutorial that will walk you through making your own bags. Here are my first attempts at making my own cool t-shirt bags: