I just realized I hadn't posted this yet! I updated my Ravelry page but forgot to post it here. This is my first felted project and my first bag. It was really easy and REALLY SUPER fun! Here is the pattern for it: Teeny Tiny Felted Tote
I modified it by adding I-cord handles to make it more purse-like, and I really like it. I'm going to make a few of them for Christmas gifts.
Here it is before I felted it with the dollar bill for size comparison
And here it is post-felted. It's not a ton smaller because I really stretched it out during blocking:
Thanks for looking!