In the studio, all the clay is recycled. As long as it is not fired, it goes back into the shaping cycle. For earthenware and stoneware, once dry, rehydrated, remalaxed, the clay can be reused in throwing. We often make half new clay and half recycled clay.
For porcelain, I recycle it into casting clay, still half recycled half new clay.
I recycle about one large garbage can of each kind per year that mean 3 large garbage cans.
As for the sludge collected in the sink ponds, I unfortunately do not recycle it because it contains oxides or soap. This sludge is collected in a large garbage can. I leave the mud dry and then it goes to waste with the paintings.