Lindsay Lohan plans to spend her stint under house arrest doing lots of painting ... reading ... and relaxing at her townhouse by the beach -- exactly the kind of hard time the judge intended.
Sources close to the actress tell us ... Lohan is looking at her confinement as a "time to relax, focus on her recovery and figure out her new game plan for her life and career."
Before she started to serve her time -- Lohan stocked up on art canvases so she can paint to release the stress.
We're told Lohan also has a stack of scripts she intends to read -- so she can decide on her next project.
Lohan is confident she will be released from house arrest before her birthday on July 2nd -- and we're told she's already making plans for a sober celebration.
No wonder she was smiling yesterday.