I actually really like the t-shirt diaper. No sewing, pretty easy to fold, quite absorbant, soft and comfy. And free. I think you could probably cloth diaper your child almost totally without cost if you simply used cloth t-shirts and bought some simple covers. (You could even make recycled wool covers for pretty cheap - but we'll save that for another day!). Anyhow, here's how I do it:
Lay your t-shirt out flat.
Fold it in thirds (the long way), so the arms are still sticking out on the sides.
Fold the top down so that the sleeves are folded to half width, and fold the bottom up to meet the top. You may have to adjust that part so it's the appropriate length for your baby.
Place your baby on the t-shirt and fold the bottom part up between his (or her) legs.
Bring the sleeves around to the front.
Pin or snappi in place! Easy peasy.
So dig out those old t-shirts and put them to good use! Your baby and your wallet will appreciate it.
Now, go enjoy those little ones while they're still little!