If there are sibs why not a little something for them?

I buy a dozen prefolded diapers. sew a decorative piece of material on the bottom. Embrodiery or use an applique and wala. Mothers love them more than anyother burpies!

Full body baby bibs, car seat covers, fabric books, bottle coozies (to help keep formula/milk warm longer), curiosity balls or blanket, a fabric toy.

I you know the sex of the baby, some cotton diaper covers are always appreciated and very easy to make. Or a couple of diaper covers and a couple of shirts with a cute applique. They stitch up so fast and so few give them.

I had made burp clothes for the local life care center that help needy mothers. I used lots of my scrap of fannel. Sewed two pieces together and turned then stitched around the outside. I made these for my granddaughter and she loved them and had me make some for her friends. I have also made changing pads from the fannel and bids with prints on the front and fannel on the back to help absorb.

I made 6 burp clothes for my daughter, she said they were the best! When someone at work was having a baby, I asked my daughter if I should make burp clothes or buy a gift. My daughter said, definiately, burp clothes. I bought 1 yard of flannel, washed it first, ironed it, and cut in in threes (double). I put the flannel right sides together on top of the batting, sewed all the way around rounding off the corners to the rectangles. I leaf an opening, and turned it inside out. Hand sewed the opening closed and stitched around the edges and machine quilted them. Easy. It was actually fun to make something without having to match or do excessive cutting.

i've made a matching cloth basket/box to keep diapers etc. in.

I think that I have done all of the above but I must say I also knit a number of cotton wash cloths baby sized and they were well appreciated. I also made a nursing pillow and a cover for the shopping cart.
Here is the free pattern

http://www.sleepingbaby.net/jan/Baby/cart_cover.html