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What types of paper are safe to use in toys and such? Not only just paper, but paper like cup cake papers, paper cups (no wax covered paper I would defiantly think), anything paper. Is there a rule to follow when using paper???

The main rule when using paper is to make sure your bird isn't a paper-eater, as that could be lethal (some birds develop weird habits over time so just always keep an eye out for it; it is very rare).

But if all your bird does is shred paper, then you can use plain paper, black and white newspaper, etc. You would want to avoid glossy paper, like in advertisements and magazines, as there is some concern with coloured inks (though I haven't found this proven, I imagine it can vary by country). Phone book paper is good too- some people just take the covers off and make a toy out of a whole phone book! Like you said, unwaxed paper cups and muffin liners too are good.

On a related note, Rocky enjoys some plain corrugated carboard from boxes. I tear it into chunks, make a hole, and thread it on a bit of jute. Most budget-conscious chew toy you ever saw!

Alrighty...we experimented with shredded paper today! Gracie LOVED it! I cut a brown paper bag very short, filled it with shredded paper and some of her food. Hooked it onto her cage and she had a B L A S T! She would pick the paper and just toss it! Was just a thrill to watch! So I guess she's NOT a paper eater but a paper tosser! I can't wait to figure out more paper tossing fun! Thank you all for your advice!

Nila likes egg cartons and recycled paper kitty litter too.

I also use peat pots / jiffy pots. These were recommended in Kris Porter's parrot enrichment book - free e-books with ideas for making your own bird toys. See http://www.parrotenrichment.com/

Ellie.