I whipped up some simple air-drying clay the other day and made these cute little charms. (Yes that IS a flying pig.)
Here's what you need to make the clay:
1/4 cup of white glue (I used Elmer's School Glue)
1/2 cup of flour
1/2 cup of cornstarch
1/4 cup of water
2 bowls for mixing
Jewelry jump rings/hooks, etc. (optional)
First, decide what color you want your clay to be. Combine a few drops of food coloring (2-3 drops for light colors like mine, 4-6 for darker colors) with your glue and water in a bowl. Mix until everything is blended together.
Then, combine your flour and cornstarch in another bowl.
Add your dry ingredients (flour and cornstarch) to your wet ingredients (glue, water and food coloring) and mix until it forms a stiff dough. This may take a few minutes, as the mixture is very sticky.
Lightly flour your working space. Take the dough out of the bowl and knead it on your floured surface for a couple minutes.
It should look something like this. (Don't worry if yours isn't as "floury" looking. I accidentally put too much flour on my work space.)