Alrighty, then. I am typically not this slick - so I am so excited about my cleverness I just had to show off. Here's a couple of super-cheap (essentially free) storage ideas for knitting supplies.
This is the packaging our pillowcases came in - I have re-purposed it to make a handy do-it-yourself sock kit. It has a small clear pocket on the inside (impossible to photograph) to keep notes about my pattern AND it fits in my purse!
Like that fuzzy photo? Another re-purposed storage item for small knitting notions. I keep darning needles, safety pins, and stitch markers in mine. As you may have surmised by now, it was formerly a prescription bottle. The handy child-proof lid keeps these items from falling out all over my knitting bag.
One last clever way to re-purpose an item. I took the black plastic inserts out of several CD jewel cases and VOILA ... I had a nice tidy way to store my circular needles. I found this works well for all needle lengths - up to a US size 11 (anything bigger than that is too thick for a jewel case).