Choose a few old T-shirts to sacrifice for your rug. Bright colors work best; neon blue, hot pink, electric purple and day-glow orange all work well. If you don't have these colors, you can get a few shirts at your local dollar store.
Spread each shirt out flat on your work surface. Cut across each shirt, just below the armpits, to give yourself a large square of fabric. Cut this fabric into ½-inch-wide strip loops. Cut each loop into 4-inch strips. You may also use the sleeves of each shirt.
Cut a piece of latch-hook canvas as large as you want your rug to be. If you want to create a design, draw the design onto the canvas with marker. Try creating hippie daisies, polka dots, bright stripes or a swirling tie-dye pattern.
Fold your first strip in half and feed the fold down through the uppermost left hole in your canvas. Slide your latch hook through the hole right below the first hole and latch onto the fold of your strip. Pull the fold up through the second hole and slip your hook through the loop in the fold. Latch onto the loose ends of the strip and pull them through the loop in the fold. Pull tight to secure.
Feed a second strip down through the second hole in your latch-hook canvas and weave it into the hole as you did the first. Continue this way until the entire canvas is full. Your rug should be fluffy, soft and colorful on top.