Cut out batting so that it is the same size as the plywood. Apply spray adhesive to one side of the plywood and adhere the batting.
Cut out the fabric so that it is 2 to 3 inches longer than the plywood on all sides. Lay the fabric on a flat surface -- either a table or clean floor -- and smooth out the fabric. Lay the plywood on top of the fabric with the batting side down.
Fold the excess fabric over the edge of the plywood, starting at one corner and working your way around the entire perimeter of the headboard. Staple the fabric every 1/2 inch, ensuring that the fabric is taut.
Flip the headboard over so the fabric side is up. Decorate the headboard with rivets or fabric trim around the outer edges.
Mount the headboard to the wall with mounting brackets.
Paint a faux headboard on the wall if you are wary of using power tools. Design a faux wrought iron headboard with black paint; paint a landscape with a large tree, flowers and birds to make your bedroom feel like the outdoors; or simply paint a rectangle in contrasting colors from the wall for a simple and elegant illusion headboard.
Transform doors into a perfect headboard. You can use vintage doors, used closet doors or even a new interior door from your local home improvement store. Paint or stain the door any color you choose; that is the beauty of using a door, it is so versatile. Stand the doors up vertically behind the bed, or mount them horizontally to the wall.
Hang a large mirror or a number of small square mirrors in rows to create the look of a headboard and make your bedroom feel larger at the same time. Alternately, purchase decals in the design of your choice and affix them to the wall; they will look similar to a painted headboard but without testing your artistic ability. Or, salvage an old wrought iron gate or white picket fence to stand at the head of the bed to create a shabby chic look.