I am new to making scrappy quilts. Saw some on here, so I started saving all my scraps. Just the other day I organized my scraps. One box of larger scraps, that I am using to make 6 1/2" diagonal blocks that when put together it makes a 12" square. Then I have a smaller box from the scraps from the larger scrappy blocks, and I'm making a small doll size/miniature scrappy blocks 2 1/2" blocks on the diagonal to make a 4" square. So I don't throw anything 1 1/2" or larger away. But I wouldn't cut up any fabric at the moment until you decide what you want to do exactly. You can always cut it but can't put it back together. My larger blocks, I make a few, then work on another quilt, go back make a few more. All my scraps are all mixed up and I just dig in a pull out fabric. No order, no color scheme, some I would never ever think about putting together, but they look really cool that way.