I love coffee. I don't go to coffee shops often enough to worry about unnecessarily using too many cardboard coffee cozies, but I thought it would be cute to make some anyway! This is a great way to use up scraps.
I used a pattern I found on a website here. I did not use the special heat/cold resistant insulating interfacing. I just used a piece of quilted fabric with batting in the middle (it is on the left, below). I cut two pieces of my outer fabric (pink fabric). I took a small piece of elastic and tied it into a loop. 
Start by stacking your three pieces.
Note: My stacking of the pieces is incorrect here! I had to rip out my stitches. It should be right sides together with the batting on the bottom!
Place the elastic with the loop facing IN (so it ends up on the outside of the cozy after stitching and turning.)
Sew around the edges of the cozy. Make sure you catch both pink fabrics and leave a space for turning. (Note again that my fabrics are stacked in the wrong order.)
After stitching.
Clip the edges and corners. After clipping: 
Turn the whole piece right sides out. Then press it flat. Now go ahead and top stitch around the whole thing. Make sure you get the space that was left for turning sewn shut!
Decide where you want the button. Try and sew it only onto the front layer (so the stitches don't show on the back). 
You're all done!
Note: You could also use felt and omit the steps for turning. The blue one in the background is felt (below). The batting sticks out at the edges.
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