Step 1: You will need a pillow case. It would be wise to make sure the pillow case fits the child. We did this by placing the pillow case over her body, head and all. (As I took this picture, Emily said, "Wait, I think I might have blinked."--always the comedian).
Step 2: Cut a hole in the top of the pillow case for the child's head to fit through and one hole on each side for the arms.
Step 3: Cut a collar out of felt (felt is very inexpensive to purchase by the yard, and 1/4 of a yard was sufficient for this project).
Step 4: Decorate the collar with jewel stickers (they can be purchased at the local craft store). The finishing touches were a painted wooden cobra (also found at the local craft store) glued to an old headband, painted gold. A piece of gold ribbon for a belt, and you have yourself an Egytian costume.