My daughter used to have terrible night terrors, ever since she was an infant. I tried everything, but she would still get them at least once a week. When she turned four, I taught her a simple protection spell that called to the four elements and she said it every night with me. I told her that it would protect her from bad dreams and "monsters". Ever since she's been using it, her night terrors have stopped completely.
Like me she is sensitive to sensing spirits and energy. So my husband purchased a witches knot pendant that I blessed and charged that she happily wears everyday. It has also eliminated the day "monsters" she was always afraid of. We agreed on the witches knot because it resembles a cross or celtic knot and no one ever identifies it as a witch or pagan symbol.
I helped her to make her own wand out of a tree branch she picked out. I helped her use soft colored wire that she wrapped it with and add beads to it as she went along. She snags my bell sometimes and I find her casting a circle and ringing the bell with a rock, a little dish of water, an unlit candle, and then places my ritual bell in all the right quarters. I find it so cute! She knows the order of the elements because of the protection spell she uses before bed.
Since she was very young I've had her "help me" with fire when I cook. Let me explain, she points at the stove and "makes fire in her mind" then I turn the nob and when she was 3 and 4 she really believed she did it! She'd giggle and jump up and down. Sometimes she still asks me if she can help to make the fire. I think its helped her with visualization a lot because she has an awesome imagination.
When she gets too wild or she becomes unconsoleably upset, I've taught her to close her eyes and take a few deep breaths and imagine a world of her own. Then I ask her to describe it, and she tells me all about the flowers and animals there. Soon enough, she's smiling and calm. Its the closest thing I can get to meditation for her. She's sat their for 15min before just talking about everything in her world.
We always go on walks together, and I teach her about nature. I've had her sit under a tree, close her eyes and pretend she was a tree too. Then we talked about what it would be like to live as a tree and its perspective of the world. At five years old my daughter can tell you all the planets of the solar system (with descriptions), how a tree works, how clouds work, and even the planets associated with every day of the week. She loves space and I'm looking to buy her one of those solar system models.
She helps me sweep away negative energy from the house with brooms in our front yard. She yells "go away bad things!" and vigorously makes sure every little leaf is shoved out the gate!
She freaked out the AT&T technician a few months back by drawing a "penticable" (pentacle) among other normal drawings of animals and rainbows. When he said, "that's a pretty star" she felt the need to correct him and tell him what it really was. Since then, I've been trying to teach my daughter not to broadcast such things as magick. I tell her it's our special secret, and that seems to keep her content. I live in a very Christian town so I am worried about that but want her to be proud. So that has proven to be the largest problem with raising a pagan child.