I grew up with ironing - when I was 10, I was taught to iron, and I ironed the t-shirts that I wore under sweatshirts in high school. Nowadays, I iron for a) weddings, b) funerals, c) when the item is not cotton knit, is not going under another item of clothing, and we ar leaving the house, c) the item is horribly wrinkled and will be embarrassing if we leave the house and the wrinkles will not relax over the course of the next couple of hours.
Bear in mind that i am *very* particular about clothing, especially the kids'. Everything has to match if they are leaving the house, DS1 and DS2 will almost always coordinate once DS2 can fit into Gymboree's Baby Boy lines on a regular basis. Heck, sometimes I even coordinate DS1 and DSD (Last Christmas Eve, she had a hot cocoa-themed dress, he had a hot cocoa graphic long-sleeved t on). I am that kind of lady.
I put very little clothing in the dryer, so things dry fairly non-wrinkly, but would look way better if ironed. I try to do the "how long is it going to look ironed vs rewrinkled" analysis. With kids not going anywhere special, ironing seems like more work than I have time for.
My lovely step-grandmother (AKA June Cleaver) embroiders flour sack towels. In her house, she irons each one prior to use. After hearing that, I assume she irons every piece of fabric in her house. Although as a perfectionist myself, I appreciate the effort, I wonder if when faced with death she will wish that she spent a little less time ironing crap and a little more doing... something else. Anything else.
But a little part of me wonders how superior she feels to the rest of the world because her dish towels are perfectly ironed. But then again, maybe she thinks that that is just the way that everyone does things.