Alright this is what you do.
Cut like 6 strands of yarn, whichever color, all reasonably long. Probably like 3 feet or so, this will give you a tassel of about 1 foot to 1 feet 3 inches or so. In the very bottom center stitch of your ear flap, pull all 6 strands through. Pull them through so that you have like 2 inches on one side of the earflap, and all the remainder on the other side.
Lay the hat on the ground. On the part where there is 2 inches, step on those 6 strings. While you are stepping on those strings, pull the the strings vertical so you are holding them up, one end in your hand, the other end on the ground held by your foot. Start twisting. Twist and twist and twist until the string is spun up so much it starts twisting in on itself. Reach down and grab the strings your foot was standing on.
Pull the strings taught and raise them horizontally in front of you so the hat is dangling by the earflap from the strings. Tilt the strings up and down until the hat is centered on the twisted strands of yarn. Bring your two hands together, letting the hat fall. As it falls, the hat will start spinning. It will spin for a good 20 seconds or so. When it is done spinning, you will have perfectly coiled tassels! Tie them together and you have a perfect tassel. Repeat on the other side.
It may sound complicated, but once you start doing it it really isn't.