I use up my leftover yarn and thread by crocheting decorative scrappy potholders, fridgies, doll clothes and granny squares. One day (!) I will take all those granny squares and make a scrappy afghan out of them.

Mittens, mittens, mittens! One year I made about 2 dozen pairs for our church bazaar.

I've also had 2 scrap afghans in progress for a long time. Yesterday I finally decided one of them was finished! :D

There is a group called Warm Up America, that takes 7 x 9 crocheted or knitted pieces and makes them into blankets for the homeless. That would be a great thing to do with your leftovers. They don't care what kind of yarn or what pattern, as long as they are 7 x 9. Your local yarn or craft store should have information, and here is a link.

Here is a link that might be useful: Warm Up America

I make mufflers that even my own kids are crazy about. You can use various thicknesses of yarn in the same scarf. Leave a tail about 8 inches long, and then chain 200, and then cut the yarn leaving a tail at that end of 8". Then turn the chain, going back the way you came, and leaving an 8" inch tail with another color, sc in each ch, and then cut off the yarn being sure to leave an 8" tail. Then turn the scarf so you are going back the other way, leave a tail, and sc in each st across, leave an 8" tail, and cut the yarn. When the scarf is as wide as you like, finish the fringe this way: fold a 16" length of yarn in half and using your hook, pull it through the last stitch on the end next to the fringe of that color. Now you have 3 strands of that color--knot them together close to the last stitch. Do this across both ends and then trim the fringe so that it is even on each end. Last, make a tiny knot at the end of each strand of fringe so that it will not unravel when you wash it or wear it. The 20 year old kids and their friends love these, so I make them up for everyone.

Scrumbling!! Also known as Freeform knitting and crochet. You can make wearables out of it or throws or tea cozies or dolls... it's artistic, and you can't go wrong because you make it up as you go. Basically, you take an armload of yarn bits that sortof go together and do a few rows of stitches, then add a color and do something else, add a color and try some lace or bobbles, add a color, turn it sideways and do some rows of crochet. Add a color, turn it again, and try one of those funky crochet flowers, etc. Add a bead or two. It looks REALLY cool, especially with the different textures of yarn and all the colors. Plus you can try a bit of edging or a leaf or two from Knitting on the Edge, or whatever you've been dying to try and haven't figured out a whole project to do it in yet. If you're like me, you end up with a lot of the same complementary colors, so for once, having a bunch of scraps and half skeins is great.

Here is a book on it:
Freeform Knitting and Crochet by Jenny Dowde
I got the book at my library, and it has really great color pictures in it of all the projects: scarf, a couple of little handbags, attached collar for a coat, a neato vest. In the back there are instructions and suggestions for different elements to make to add to the 'scrumble' - a fan, different little flowers, a leaf or two, attached strips. There's crochet stitches too - tassels, bobbles, and lots of ideas.

It's kinda fun to NOT know where you're going with it, and just play with shapes and colors and textures and see where you end up. Test and idea. There's no wrong size, no 'what row am I on?'. And if there isn't a "wrong", you don't have to rip it!

Here is a link that might be useful: Scrumbling

When I saw your post, Leslie, I first thought you had an 'off-topic' question about stuff in your refrigerator - LOL!

Here is a non-knitting/crochet use for bits and pieces of yarn...

Cute idea to keep children busy, too.

Here is a link that might be useful: Cheerful Cards

I made a scarf for a teddy bear. I love Sheilajoyce's scarf idea and want to try that.

Um...you can send them to me. :) I do granny squares for afghans in a program similar to Warm Up America. Every now and then I post a notice somewhere asking for "leftovers" and someone gives me a bag. It is SO much fun choosing which colors to use in the square - you don't even have to have one color per row; if you run out in the middle of a row you just tie off and loop in a new one. I keep a bunch of little yarn balls in a tote bag with a kids' scissors and my hook, and bring it with me everywhere I go so I can get a row in here and there. When I get 6-7 squares done, I mail them to the lady who puts them together into afghans and ships to the lucky recipient, which is generally someone who's been through a tough time - a death in the family, a tough divorce, a sick child, etc.

Such creations are also very welcome at nursing homes, Ronald McDonald houses, battered women's shelters, homeless shelters, etc.

You could also use the leftovers to make scarves, hats, kerchiefs, headbands, hair scrunchies, ponchos and shrugs for kids - this is a great charity project too; think how wonderful a homemade gift would be to a child going through a tough time.

Alternatively, consider donating your yarn to a church or even your local Girl Scout council - some lucky troop can use it to make those charity items as a service project and learn to knit or crochet in the process.

Just some thoughts. :)