Photo: Put a new spin on those old CDs. Use them as clothes size dividers in your children's closets! I personally don't keep old clothes in the closet, but would be cute to divide pants, shirts, dresses etc.
DIY Closet Dividers -- cute idea for a baby shower gift! Supplies: paint, scrapbooking paper, Mod Podge, # stickers, wooden letter "O's" (may need to modify it somehow if you don't have removable closet rods)
Good idea for memories over the school years. Make one for each child and then add hanging folders that say "Pre-K through grade." Save things that come home during each school year (report cards, drawings, certificates, good grades, etc.