Contrary to popular belief, nuts actually make a wonderful addition to a compost pile. Their meat adds essential nutrients to the pile, and any shells that resist decomposition increase the drainage of the the resulting compost. However, one drawback to composting nuts is that their smell may attract squirrels and other vermin. Only compost nuts in a covered compost pile that offers adequate defense against prying paws.
Shell the nuts and set the shells aside.
Put the nuts in a food processor and chop them as finely as possible. Ground to a powder is ideal. If you do not have a food processor or blender, simply finely chop them with a knife or grind them with a mortar and pestle.
Spread the nuts and shells over the top of the compost pile.
Turn the compost pile so that the majority of the older material is on top and the newer material is on the bottom.
Replace the cover on the compost bin.