So when you have finished cutting 2 lining pieces & 2 PF peices, you are ready to sew. Firstly sew up three sides of the PF (flowers/pretty sides together and you should have the back of the fabric showing) . As a guide I used the edge of the screw on the plate of my sewing machine as it's roughly 1 cm.
You need to leave a gap in the bottom edge of the lining to turn the bag out right at the end. So sew the two shorter edges, then do a bit either side of the bottom edging. If you are using calico, then you need not worry about right sides in, as it's reversable. If you are using patterned fabric, then your patterns need to face each other, it's called right side in.
I can't explain this very clearly but when you have two pockets, you need to squash the corners flat before turning out and sew a line across. I have drawn this in diagram 2 (if you click on this it will get bigger). Just make sure you line up the seams and do each corner the same amount. I cut the corners off after sewing and left about 1cm hem. I did sew again for stregnth.
Then when you have finished sewing round the top, turn inside out using the hole in your lining and it should look like the above picture. Iron seams, then turn to the handles. Because you left about an inch hanging up (see 2 pics up), you should be able to feel those bits in between the two bits of bag. I sewed a square into them to make them stronger.