I think the gifts for older people need to be very thoughtful and must think about what they love the most in their lives for themselves. My grandpa loves to collect pens and tries to find good pens everytime he goes for shopping. Hence, whenever I have enough money I go and buy a classic pen. I love to gift him and make him happy.
From children, I think that handmade crafts are the best choice. They're cheap, which will save your money, and they're also personal, which the grandparents/aunts/uncles will love. From those older than that, I think one of the best gifts you can give are family pictures or even an electronic photo frame that alternates pictures. You can set it up for them and they'll appreciate it a lot.
One thing I just remembered, when we have children and apart from the gift we are offering, is to make the kid offer the older person something he/she done. It can be a drawing or a simple tree leaf found on the floor, those little things are treasured with love.
