If you have space, composting your grass clippings in a bin is the easiest and most practical way to do it. First, if you'd like to compost, ensure that you haven't treated your grass at least in the past 14 days, as the chemicals will get in the way of the decomposing process.
Then you can just add your grass clippings to the bin. To get the correct ratio of carbon to nitrogen, you'll want to also add brown material, such as newspaper, dry leaves, or branches in an approximately 1:1 ratio.