I am a little confused on how you do the hem with the 3 extra picks. Does the 3 picks spot become your hem line where you stitch or is it a fold. Thanks!

On the hem I will do 2 picks in 2 places. Once on the spot that I want to fold the hem. I also use 2 picks (in a different color) to mark the start of a new towel. I'll use this marker as my cutting line. Jane did a video on hemming and she explains how she uses multiple picks.