Grab some yarn, any kind really, big and thick, skinny, wool, acrylic, your cat's fur. Really anything goes. :) Grab some needles too. You're going to need double pointed and a circular needle (16-24 inch) and a stitch marker.

Measure your head, i made a twenty inch hat so i knit on the double pointed needles until i had forty stitches (two stitches per inch, i was using insanely bulky yarn). Obviously if you are using worsted weight yarn you are going to need more stitches, close to 100.

Ok, cast six stitches onto the double pointed needles, (two on each).
Round 1: Knit
Round 2: Knit one, make one all around (12 stitches)
Round 3: Knit
Round 4: Knit two, make one all around (18 stitches)
Round 5: Knit
Round 6: Knit three, make one all around (24 stitches)

Repeat until you have created enough stitches to meet your gage, (as said above, i continued this pattern until i had forty stitches, necessary to meet my gage and fit my twenty inch head).

Knit one round, and move onto circular needles.

Now you have to make the holes on the back so you can cinch the hat with the ribbon. Put your stitch marker on, so you know where the begining is.

Knit three, yarn over, knit two together and then knit until you get to the last four stitches. Yarn over, knit two together and then knit two.

Knit five, six, four, however many rounds you want, and then repeat the above step to make the holes again.

Knit for as much as you want, i did five rounds between five sets of holes. Be creative!!

To make the brim, knit one row, purl one row, knit another row, purl another row then knit the last row and bind off all stitches.

Weave in the ends, adjust ya know, finalize the hat, spruce it up, etc. then start on one side, at the bottom left weave the ribbon up the row then down the other side, tie in a pretty bow! and viola!! an amazing hat!