Recycle those photographs you have laying around in a shoe box by making them into ornaments.  My 5 1/2 yr old and 3 yr old daughters loved looking at old pics of them as babies and had even more fun making them into ornaments. 

Just get some glitter glue, tape, scissors, foam paper/cardboard, ribbon/string.  Or you can just buy the ornament making kit that has everything you need - you can find those at any arts and crafts store like Michael's or AC Moore.

Use your imagination and create your own Christmas ornaments. Make sure you indicate the ages and years on the back of the ornaments so you can keep track for years to come.  The end result is that you are a creating a live scrapbook on your Christmas Tree.  You could also make these as gifts for grandparents, aunts, uncles....anyone you wish.