Loryn: Old wool sweaters from the thrift store make a great source for inexpensive wool felt. Just run the sweaters in your washing machine on the hottest cycle, and you’re ready to start sewing!
I made a basic stocking template that makes a 16″ stocking. You can download the PDF here. To print it on an 8 1/2 by 11″ printer, choose the tile option and tape the pieces together.
These were assembled with a 1/2″ seam and a simple turned hem at the top (it won’t ravel, so I just turned it once). Sew a simple hanger from a 1″ piece, folded in half and top stitched.