Instructables
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Picture of Workbench under-shelf jar storage
I was tired of having a pile of screw and nail boxes, and had more than a few collections of nuts, washers, and other bits of hardware and odds 'n ends around my work area that needed a home, so I collected a few jars and made this under-shelf storage system.

My father told me about this system a while ago- his father had had it in his shop. I installed it for myself, and it has made things SO much nicer and easier.
 
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Step 1: Materials: Jars (duh)

Picture of Materials: Jars (duh)
You can use any old jar, so long as you have room for it. Smaller jars (like baby food jars, as my grandfather used) are probably best. For one you can fit more of them under your shelf, but really most hardware doesn't actually need the space of larger jars (like the two tomato sauce jars I've got in the picture).

Step 2: Drill holes in the lids

Picture of Drill holes in the lids
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Drill at least three holes in each lid, spaced evenly and far from the center of the lid (without causing potential interference when the the jar is screwed in). I made my holes just small enough that the screw actually threaded in, so that there was more material for the head of the screw to tighten to.

Step 3: Place and Screw the lids in

Picture of Place and Screw the lids in
Choose a drill bit for a pilot hole. Stick a piece of tape around it to set the hole depth to be less than the width of your shelf.
Put tape on the back of your drilled lids and stick them where you want the jars to hang. Make sure that there is clearance between the jars before putting the screws in the lids.
Use the holes you drilled in the lids to find your placement for the pilot holes, drill 'em up, and then drive the screws in.

Step 4: Done! Use 'em!

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I took the labels off of the screw and nail boxes and used some rubber cement to fix them to the jars.

I'll be putting more up as I collect more jars (eat more jam, peanut butter, olives, and pickles... yum!)
I also use peanut butter jars that are clear plastic. I made some shallow shelves under my cabinets over the back of my workbench and this makes stored items readily accessible. Other types of clear plastic jars work equally well.

I'm in the process of changing all mine to plastic peanut butter jars, they tend to bounce rather than shatter on those inevitable occasions when a jar works loose or you don't quite do it up properly; they need a little extra support in the form of large washers or a metal disk cut from a can but the extra time is worth it.