I prefer to make up our notebook ahead of time. I usually print out half a year at a time and bind it together because the whole year at once gets pretty thick :). Princess always makes her own cover as she likes to do that.
This year we bound our notebook at the top by punching two holes and inserting brad fastners, which I recommend that you tape in the back or they will pull out.
As for what's inside, I start with the notebook pages that I create.

I print one template for each chapter. Then as we read a section we add to our chapter notebook page. Sometimes princess will draw a picutre, sometimes not. Somedays I will have her copy her narration onto the page herself, sometimes I will write it for her depending on how much writing she has already done that day.
Next I add the coloring pages and the maps from the activity guide. I purchased the activity sheets as a pdf from Peace Hill Press halfway through the year, so it's been really easy to print them up and add them to the notebook. Next year, I will just copy them from the activity guide.
Then I add her copywork sheets.

I absolutely love Zane-Blouser website because you can make customized copywork sheets for free (just click on the get started button). So I take the list of copywork sentences I have, enter them in and print them out. I then put these sheets in her notebook.
Finally I add the project pages that I have created.

I count up the number of projects we have planned and print out that number of pages. Then put them in the back of her notebook.
For me I find it easier to have sections for each catagory (ie. notebook pages, maps and so on), but you could certainly arrange your notebook by SOTW chapter. It take quite a bit of effort on my part, but it makes our days go so much smoother. Princess really loves looking back at what we have studied and I'm grateful that I don't have to constantly keep track of papers to hole punch and put in her notebook. So there you have it, our SOTW notebooks.
ETA: All the pages (with the exception of the AG pages) and my plans are available for free here and at my yahoo group (link in the side bar).














