I have twins and then a third just 16 months younger (yes, you can get pregnant when your twins are infants, breastfeeding full time, you haven't had your period and your husband has fertility issues!) Sorry to digress. Anyway - our house is full of so much stuff that when we moved last summer, I vowed that no one was to ever buy another toy without first looking in the playroom and finding space for whatever it was! Great ideas we've (or my parents, in-laws, family) has come up with:
* Tickets to a fun show - Disney on Ice, Blues Clues - something on the stage. Wrap up the tickets with a spinner or some toy to represent the show to the kid.
* Payment for a kiddie class for a session - gymnastics, karate, music, Gymboree, Mommy & Me, art, Brownies, Boy Scouts (both run over $100 registration fees here), soccer registration, skating lessons, piano lessons - something you'd like them to try, uniforms for any of the above. Again, wrap it up with a water bottle, paint brushes, Scout handbook, etc.
* Gift Cards - Chuck E Cheese, Wiggles & Giggles - y'know all those local places with the giant jumpers and the $9 entrance fee? Paint your own pottery place, movies ($6.50 for kids + popcorn adds up fast), kiddie chef joint
* Store & Restaurant Gift Cards - my kids are now 6 and 5 and they really like to pick out their own things at stores for their rooms, little lamps, even toys, Happy Meals,
Disney Store, Target,
WalMart - anything with wide and varied selection of stuff, local video store, McDonalds, Subway, Pizza Hut - any place that you really don't like taking your kids to either nutrionally or financially! My daughter really loved getting a $5 gift certificate to Barnes & Noble.
Last year my sister had her 3rd baby and her house was inundated with toys. My niece's birthday is a month after Christmas and since she was just a baby, she asked all the immediate family instead of buying ANOTHER snow suit (because she had 2 perfect ones in storage) or ANOTHER Elmo toy (because the 4 zillion she has in her house from 8 years ago are the same as what is at the stores, etc.) could everyone give Claire money to go towards a new, beautiful swing set? We did - for Christmas and birthday. They had just moved into a new house and with all the money, Claire's 1st birthday pics of her climbing like a monkey were the best thank you we could see! So - don't be afraid to ask people to add to your kitty of something special you're saving for.
Of course, there is always the "College Fund" gift but that may not be fun for the kid to open. My parent's solution to this - a note to Mom & Dad about the donation (we have accounts set up for the kids that my uncle manages) but also a bunch of little, little things for the kids to open - doll clothes, new CD, funky outfit mom would never buy (my daughter is a fashion maven - I like Target!), new pair of shoes, sneakers that light up, etc. Nothing expensive but flashy with lots of kid appeal.