I bought 1/4 yard of this bright color striped fabric on clearance and then purchased 1 yard of three different coordinating ribbons. The total cost for material was less than $5.
I went with a raw size of 13x15 inches for the fabric portion of the Taggie which is because I liked that size, it wasn't too big or too small. I didn't use batting or any other filler, just the two pieces of fabric sewn together. But, before I sewed the pieces together I cut several pieces of 4-5 inch ribbon from each of my three colors: orange grosgrain, red satin, and lime green with blue dots grosgrain.
I folded the ribbons in half and pinned them around the right side of one of the pieces of fabric and then stitched them in place. Then, I added the second piece of fabric and stitched the two together. At this point, I couldn't see the ribbon anymore because the loops were "inside" the fabric.
Hookin' Up w/ HoH, Keep it Simple Sunday