Pinch-style clothespins have long since replaced the wooden pegs once in common use for line-drying laundry, but you can still find pegs in craft stores and use them for children's craft projects. With paint and a few other basic supplies, you can use these pegs in a variety of art projects.
The wooden clothespin peg makes a fine body for an insect. Paint it green, black or brown. Paint on eyes or glue on small wiggly eyes, available at craft shops. Use construction paper, or thin sheets of craft foam or felt, to make the wings. The wings can be made in the shape of butterfly wings or dragonfly wings, but if you cut the wings from a single piece of material such that they stay attached, then you can simply slip the peg over the wings and glue into place. Decorate the wings with glitter glue and paint, and small plastic gemstones with the material will hold up to it. Start a "butterfly collection" this way.
The round knob top serves for the alien's head and the long slender lines of the clothespin peg represent the willowy bodies and legs associated with those well-known "visitors to Earth." Paint the peg green or grey, and paint on slanted eyes, using black. Fashion arms from a pipe cleaner, wrapping it tightly around the neck of the peg and leaving both ends long. Create many of these and you have a host of little green (or grey) men to come visiting.
For this you'll need three clothespin pegs. Glue two of them together, side by side. The pair of round knobs forms the body of the reindeer while the extended pegs make up the four legs. Then take the third peg and turn it upside down. Glue it onto the body. The knob is the reindeer's head while the extended pegs reaching up are its antlers. Paint on features or use wiggly eyes. Paint the tips of the hooves black. Paint the antlers a dark brown. If you like, paint white spots on the reindeer's back and make your reindeer a young one. Or give your reindeer a red nose to make it Rudolph. Now tie a bit of twine around the reindeer's middle, making a loop on top and you have an ornament for your Christmas tree.