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Start with a t-shirt that you don't wear anymore.
Since mine had elastic along the bottom I cut it off.
Cut close to the pit of the shirt so that your scarf will hang properly.
Begin to cut the bottom so that it looks like this. Do it all the way across the bottom of the shirt.
By now your shirt/scarf should somewhat resemble a hula skirt.. Ha. ;)
Pull on strips so that it doesn't just look cut up. (It will look much better if you do this..)
Fold down the top of the shirt.
You're done!! :)
Your finished product. :)