Mix flour and salt well. Gradually add water, stirring with a large spoon. Finish mixing with hands. Knead until soft and pliable.
Roll out on floured surface about 1/8 inch thick. Cut shapes with cookie cutters. Place on cookie sheets. With a toothpick make a hole in the top of the ornament for threading string. Bake at 325 degrees F (165 degrees C) until hard, about 1 hour. Decorate with paint and varnish to preserve.