Felt-board nativity: "The kids love it and enjoy moving them all around. Baby Jesus has been held by everyone in the scene including the angels!" - I've seen the felt Christmas tree but LOVE the felt nativity wall.
Here's a simple button star Christmas ornament craft for kids inspired by the children's book, Corduroy! It's an easy homemade ornament that can be adapted for toddlers, preschoolers, and kindergarten.