We told our kid's from day one, that we all give each other gifts because we love each other more than some strange guy in red.
When our son was 3, the nurse at the dr's office asked him what Santa was bringing him for Christmas. When he replied "Santa is dead", she shot me an evil glance....
My husband and I decided that if we lied about something this big, they would wonder what else we lied about....
We often told them they were too young to know certain things yet.....I'm pretty sure we never lied to them....