I have made the kids handmade ornaments every year since I started having kids... then when they get married/etc, I'll have a bunch of ornaments to give them. This year, I am making stuffed trees a la Little Birds.
I altered her pattern a little. My tree measures about 4 inches tall. It is completely hand-stitched. I did it last night while watching the Biggest Loser. Then I stitched on these seed beads... it was actually extremely therapeutic. I have two more to make... then I'm gonna make a set of three larger ones (the tallest being 8 inches) to put on top of something for decoration.
It's not quite done. It needs a loop for hanging on the tree and a star... which I think I'm gonna make out of some yellow felt. I used wool felt for the green, but I think I'll just use craft felt for the star. If you haven't used wool felt... you should. It's amazing to work with.
I also have plans to make the girls each a doll or all three kids a softie. I'm also making Miles a superhero cape as the only capes we currently have are pink and Matt hates it when he wears them.