How to Swaddle Correctly. Spread your baby’s receiving blanket out flat, with one corner folded down. Lay the baby face-up on the blanket, with his or her head above the folded corner. Straighten the left arm, and wrap the left corner of the blanket over the baby’s body. Tuck it in between the right arm and the right side of the body. Yes, it is okay not to swaddle a newborn if the baby does not want it. Swaddling is a way to make sure that the baby stays on his back while asleep and stays comfortable. If you do not want to swaddle your baby, you should keep an eye out while putting him to sleep. The baby needs to stay on his back while sleeping.