I absolutely love comfy sweatshirts.
For some strange reason, cotton sweatshirts, are extremely difficult to find in a size small. You can't buy them at craft stores or at large retailers. So when I find them at thrift stores, they are coming home with me! I found this one at the thrift store for $4.00 and then half off.
I then found some Cricut Iron On Lite in white for my design. Even though it is a different brand, it works just as well with my machine. I bought mine from Joann's, but it can also be found at Michael's and AC Moore.
Make sure to lay your Iron On Lite Shiny side down on your cutting mat. This material is called Vinyl Glossy (I'm not sure if Vinyl Matte is the same thing, but Vinyl Glossy worked well for the cut setting.)
Once the design is cut out, "weed" out the extra material.