thumb prints made into Christmas lights. Easy craft to do with the kids. To enhance this, I might extend the strand each year, so by the time they are older, you have a long string of thumb print lights.
craft idea for kids- monster pet rocks. Pre-paint rocks and they can draw faces. I have a lot of googly eyes I can bring in. This can be a cheap project. Maybe high school kids can paint the rocks. Maybe use half Easter eggs if short on rocks?
Birthday balloon avalanche :) What you'll need ~~ bedroom door that opens inward -clear shower curtain (you could use anything but we chose the clear curtain so we could capture her face on video) -painters tape balloons -one birthday girl/boy