We went to Target and bought 6 cotton/spandex shirts for $6.99 each. The rest of the supplies were free....well, not really, I already had them left over from another project. I ironed Wonder Under to the back of my fabrics. I had a Christmas print, a turquoise flannel and a white cotton duck.
On white paper, I drew and cut out six different ornament designs and traced them onto my Christmas fabric. I also drew the letters-but remember you have to do them in reverse.
I used the white fabric for the top of the ornament, and the flannel for the letter monogram. I ironed this all on the shirts, outlined with two colors of Scribbles 3D paint and glued on red bows. I'd say this whole project cost under $10 a shirt.
I haven't washed them yet to see how they hold up, so I'll let you know how that goes. I had to take a pic of them all in their shirts for display--they had all just gotten up so they've get the bed heads and pj bottoms going. What a crew!