Martha always offers the most amazing ideas for any holiday such as the following with complete instructions and templates for each project.
Use odd bits of felt and ribbon (wide grosgrain works well) for these gift wraps that can be saved and used as protective coverings. For compact discs, blank books, pencils, or diaries are ideal items to offer in these attractive pockets that can be saved and used as protective coverings. Use odd bits of ribbon (wide grosgrain works well) or felt for these gift wraps.
Embellish holiday parcels with mistletoe made from felt leaves. Photocopy the template and cut out the shape. Using a disappearing-ink pen, trace around it onto green felt (we varied the look by using a few shades of green); cut out the shape. Thread a jingle bell onto a length of cord, and tie the bell to the mistletoe. If you like, add more leaves and bells to the cord before tying it around a gift.