Felted Bag Knitting Pattern

I feel like one knitting technique that’s ripe for a comeback is felting, so let’s give it a try with this felted bag knitting pattern!

My very first book was about felting knitting, and it’s such a fun way to change the look and characteristics of your knitting projects. You might think of it as intentionally shirking your project, but what’s really happening is the animal hair (aka wool) is sticking together, making a thicker, more solid piece.

Felting is a little unpredictable, but that’s part of the fun. And the reason it’s great to use on projects like bags that don’t need to be a particular size.

I made this felted bag knitting pattern as part of the Christmas in July blog hop, which is a month full of free patterns — knitting, sewing, crochet and more — to help you kick off your holiday making. And of course there are prizes and lots of fun in store, so read on for more information.

Supplies

To make this felted bag knitting pattern, you’ll need 100 percent wool yarn. I’m pretty sure the brown is Cascade Yarns Ecological Wool in color Chocolate. The blue is Briggs & Little Heritage 2 ply in Teal Blue. I used about 235 yards of the brown and about 140 yards of the blue.

You want to use bigger knitting needles than you normally would for the yarn when you are planning to felt it, because the extra space between the stitches causes more friction. (Which means easier felting.) I used a pair of size 11 US/8 mm knitting needles.

You’ll also need a sewing needle, and if you want the strap to be double thick like mine, a set of three double pointed knitting needles in the same size as your regular needles. I also used a crochet hook (mine is an I/9/5.5 mm, but anything close will work) for finishing the seams, but you can sew them instead.

Gauge

Gauge isn’t critical for a felted project but I got 12 stitches and 16 rows per 4 inches/10 cm in stockinette stitch.

Size

The bag before felting is 12 inches/30.5 cm tall on each side and about 13 inches/33 cm wide. The side panels are about 5 inches/12.7 cm wide and the strap is 3 inches/7.62 cm wide and 24 inches/61 cm long.

After felting your size will vary depending on how much you felt it (and indeed how much the yarn felts) but mine came out about 9 inches/22.8 cm wide by 11 inches/28 cm tall, with side panels about 4 inches/10 cm wide. The strap is 19 inches/48.25 cm long and about 2.25 inches/5.7 cm wide.

If you want to make sure your bag felts to a particular size, make a large swatch and measure it before and after felting to determine the percentage change.

I didn’t do a swatch or I would have realized that blue yarn really doesn’t want to felt, but I like the kind of slouchy look. The bag is a perfect project bag or small tote bag for running errands or carrying stuff for the kids.

Felted Bag Knitting Pattern

I made the front, back and bottom of the bag all in one piece. The sides are knit separately and sewn on (I crocheted them together). The strap is also knit separately on double pointed needles to make it double thick. Then it’s sewn on and the whole thing is felted.

To make the body of the bag, cast on 40 using your contrasting color (mine is the blue). Work in stockinette stitch (knit 1 row, purl 1 row) for 3 inches/7.6 cm.

On the next right side/knit row, change to your main color (brown here) and work in stockinette stitch for 3 inches/7.6 cm.

On the next knit row, change to blue and work in stockinette stitch for 2 inches/5 cm.

Change to brown on the next knit row and work in stockinette stitch for 2 inches/5 cm.

Change to blue and work in stockinette stitch 1 inch/2.5 cm.

Then change to brown again, work in stockinette stitch for 1 inch/2.5 cm, then purl the next right/knit side row. Continue in stockinette for 4 inches/10 cm, then purl a row on the knit side again. Work 1 more inch/2.5 cm in brown.

Working up the other side you’ll work backwards through the same stripe pattern you did on the other side (1 inch in blue, 2 inches in brown, 2 in blue, 3 in brown, 3 in blue). Bind off in blue.

Making the Sides and Strap

The same stripe pattern will be repeated on the sides of the bag, so you can start at the top or the bottom of the stripe pattern.

For these I cast on 15 stitches and repeated the stripe pattern for one side of the bag. Make two.

The strap I worked on double pointed needles because stockinette stitch has a tendency to curl, which can do weird things when felted. I used brown but you can use either color.

Cast on 20 stitches and divide onto 2 double pointed needles. Use a third needle to knit in stockinette stitch (which in the round is knitting every stitch of every round) to desired length about 24 inches/61 cm. I was about to run out of yarn so I stopped there but you can make your strap longer if you have more yarn.

Using a crochet hook and one of the colors of yarn (I used the brown), work single crochet stitches on the inside of the back to attach the side pieces to the body of the bag. Make sure your stripes line up on the front. You can also sew this with a yarn needle if you’d rather. (I like the extra durability of the crochet, but you can see some of the stitching from the front, which may mostly be because the blue yarn didn’t felt as well.)

Use the yarn and a sewing needle to sew the strap to the bag at the center top of each side.

Felting Your Bag

Felting knitting requires heat and agitation. You can do it by hand but it’s faster to do in a washing machine. Use the shortest cycle and the hottest water you can.

My front-loading machine has a short wash cycle that’s 25 minutes long. I used a tiny bit of laundry detergent and hot water. Put your bag in a pillowcase and tie it closed to prevent any fibers from getting into your machine.

I actually ended up running mine through two cycles because that blue yarn just doesn’t want to felt. It got a little better on the second round but the stitches are a lot more visible on the blue stripes than the brown.

It’s done when you say it is, or when the fabric is thick and the stitches are indistinct.

Roll up a couple of towels and stuff them in the bag while it dries to keep the sides nice and straight.

Because the blue was still pretty floppy, I turned in about a row’s worth of the top of the bag and stitched it down to the inside using the blue yarn. If your yarn felts better you won’t need to do that.

And there you have it! This felted bag knitting pattern is great to make for busy moms, fellow crafters, or anyone who needs an extra cute place to stow some stuff.

About the Christmas in July Make Along

I’m participating in the 7th Annual Christmas in July Make Along with Underground Crafter. Come join the fun! 27 bloggers have teamed up to bring you a month full of free patterns to kick start the handmade holiday season — including crochet, knitting, and sewing projects. There’s something new to make every day in July. Each week will have a theme.

Week 1 (July 1-7): Babies, Kids, and Teens
Week 2 (July 8-14): Women
Week 3 (July 15-21): Gifts for Anyone
Week 4 (July 22-28): Home
Week 5 (July 29-31): Pets

We’ve also partnered with some of our favorite companies – GlassEyesOnline, KennyClayCo, KnitPal, MBT Creates, Search Press North America, Storey, and Unicorn –  to get 8 fabulous prizes for the make along giveaway! Find out more information about participating designers, the schedule, and enter to win a prize on Underground Crafter. The deadline for entering the giveaway is Monday, August 4, 2025 at 11:59 pm Eastern.

How To Join the 7th Annual Christmas in July Make Along

• Sign up for the Christmas in July Make Along updates and Underground Crafter’s newsletter to get regular emails, including a daily email in July as each make along post goes live. 
• You can join in by crocheting, knitting, or sewing the projects as you have time.
• Share your progress and post pictures of your finished projects. Tag your projects and posts #CIJMakeAlong2025 on all social media.
• If you’d like to chat with other crafters, join the Underground Crafters Facebook group or the Underground Crafter Ravelry group.
• By the end of the Make Along, you’ll have up to 31 awesome projects. Get ready for the handmade holiday season while having fun with us!

Visit Underground Crafter to learn more about the prizes, enter the giveaway, and to get links to each Christmas in July Make Along post as it is released.

More Gift-Worthy Knitting Patterns

This is actually my fourth year participating in the giftalong, so if you’re looking for more knit gift ideas, check out these other projects:

• Fuzzy Heart Pillow
• Stash-Busting Zipper Bag
• Mosaic Knit Cowl (my personal favorite!)