Emily and Nathan each have a sturdy 3 ring binder with a clear plastic pocket in the front.
Every school year, I search online and print out a neat picture for each child.
Last year, I found a cool tornado picture for Nathan and added his name to it.
This year, he has a volcano picture (I didn’t have a chance to photoshop his name since we started school early, but he hasn’t mentioned it):
Emily had Hello Kitty last year…
and this year, she wanted Tinkerbell.
I love this because it allows for something fun and “new” each year (you can change it more often if you want) yet the only cost is a tiny bit of printer ink!
I also let each child pick one “special” folder (the colorful character ones that sell for $1-2 at Walmart) each year and the remaining folders are the cheap ones I pick up from Staples for 19 cents or so.