I agree with having them do the Angel tree. My kids LOVED doing that last year, and it doesn't even have to be an expensive gift. In fact, we picked a 3 year old little girl, and we got her a coloring book, 24 piece puzzle, and a little comb set all for under $5 :)
Look around online or in the newspapers for Christmas plays, Living Nativities, or Christmas reenactments. My DS and I went to a 19th Century Christmas reenactment last year, and it was SO much fun seeing what the kids did in the 1800's for Christmas. They had a yule log, made homemade ornaments from nature items and dried apple slices, played games from the time period, sang carols, it was so much fun. We are all going as a family this year, and it will be a full day thing and only cost us $20! And if your local zoo does ZooLights, that's always a nice thing to go to!
at 1:55 PM on Oct. 6, 2010