This Instructable is focused on how to sew a scrunchie by hand. It can be done with a machine as well, but this particular scrunchie was sewn by hand. The time it took to sew the scrunchie by hand was around one hour.
Step 1: Cut the Needed Fabric
Cute a 26" by 3.5" piece of fabric
Cut an 11" piece of elastic and set it to the side
Step 2: Iron
Iron the fabric to remove all wrinkles and creases
Step 3: Fold
Fold (overlap) the fabric to 13" to where the desired (right side) is not showing
Step 4: Fold Again and Secure With Safety Pins
Fold the overlapped fabric in half "hotdog style", and use safety pins to hold the fabric in place.
Fold one end (out) (1/2") to where a small portion of the correct side is showing
Step 5: Stitch Together
Stitch a 1/4" seam on the open side of the folded fabric
Step 6: Turn "right Side Out"
Attach a safety pin to one side of the fabric and pull in through the inside of the tubular shaped fabric (this will turn it "right side out")
Step 7: Insert Elastic
Take a safety pin and attach it to the elastic
Run the safety pin (connected to the elastic) through the fabric to where the fabric now surrounds the elastic
Step 8: Finishing Touches
Tie the elastic in a knot and place the raw end of the scrunchie into the previously folded end of the scrunchie and sow the two together