Clean the plastic container thoroughly and allow it to dry in the sun for several days.
Drill holes in the bottom, sides and top of the container to provide ventilation for the earthworms. Using the drill, make a small hole every six inches across the entire surface of the container.
Fill the bottom of the container with shredded newspaper about four inches thick. Lightly sprinkle water over the newspaper until all of it is slightly moist, but not wet. Allow the newspaper to sit for a day and fully absorb the water.
Purchase earthworms in a garden or fishing supply store. Species like Eisenia foetida (red wigglers) are particularly effective for vermicomposting (more so than the worms you might find in your garden) and should be available and very affordable at most garden supply stores.
Release the earthworms into the moist newspaper bed. Start with about 50. Earthworms reproduce quickly and adjust to the amount of food available.
Place the lid over the container to keep direct light from hurting your worms.
Place the bin in a spot where it can remain above ground and stationary. If necessary, place your bin over a few bricks to keep it above the ground.
Regularly fill your bin with organic waste like vegetable remains and organic compost material. Do not fill the bin with more than two feet of compost. Earthworms will not dig more than two feet into the bed.
Allow your vermiculture bin to sit until you notice that the level of waste is settling or diminishing.
Remove finished vermicompost from the bin. Using rubber gloves, reach under the top layer of organic waste and scoop out the dark composted material. This vermicompost is high-quality fertilizer.
Refill the bin with organic waste and add the compost to your garden as fertilizer.
Repeat the process every time you notice the worms have consumed a few inches of organic waste.