With size three needles and waste yarn, loosely cast on 40 Sts, 10 on each needle. Change to working yarn and K 8 rnds.

Picot round: K2tog and yo. Continue to end of rnd.

K 8 rnds.

Hem: With right needle, pick up first St from cast on edge and slip onto left needle. K2tog. Continue in this manner until all Sts from the cast on edge are knitted. Remove waste yarn.

Change to size four needles, K 24 rnds and divide for heel flap.

Heel flap: Working back and forth on 20 Sts: Row 1: SL 1, K one across. Row 2: SL 1, P across. Repeat these two rows for 16 rows.

Turn heel: Row 1: SL1, K11, SSK, K1, turn. Row 2: SL1, P5, P2tog, P1, turn. Row 3: SL1, K to one St before the gap, SSK, K1, turn. Row 4: SL1, P to one St before the gap, P2tog, turn. Row 5: SL1, K to one St before the gap, SSK, turn. Row 6: SL1, P to one St before the gap, P2tog, turn. Row 7: SL1 K across.

Pick up and K10 Sts along the side of the heel flap. K20 Sts (instep). Pick up and K10 Sts along the other side of the heel flap. K6. Divide Sts as follows. Needle 1: 16 Sts, Needle 2: 10 Sts. Needle 3: 10 Sts. Needle 4: 16 Sts.

Gusset: Round 1: (needle 1) K to last three Sts, K2tog, K1, K20 (needles 2 and 3,) (needle 4) K1, SSK, K to end. Round 2: Knit even. Repeat these two rnds until there are 10 Sts remaining on all four needles.

Knit 15 rnds even or until 1-1/2 inches from desired length.

Toe: Rnd 1: (needle 1) K to last three sts, K2tog, K1, (needle 2) K1, SSK, K to end, (needle 3) K to last three sts, K2tog, K1, (needle 4) K1, SSK, K to end. Rnd 2: K even. Repeat these two rows until four sts remain on each needle. Cut yarn leaving 12 inch tail. Kitchner stitch (graft) toe sts together.

Abbreviations:
    DPNs = Double Pointed Needles
   K = Knit
   P = Purl
   SL = Slip
   Rnd(s) = Round(s)
   St(s) = Stitch(es)
   K2tog=Knit two together
   P2tog _ Purl two together
   YO= Yarn Over
   SSK= Slip, Slip, Knit. Slip two stitches, one at a time, from left needle to right. Slip point of left needle
    into front of both stitches to hold them, and knit together through the back.

Copyright: Linda Nelson, September 13, 1999.