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I know this may sound stingy, but I have friends who color coded their kids socks. They don't deviate from this rule. If they don't have solid color socks, the color bands are that child's color.
It seems to work really well. Details like size seem to go over kids' heads. And it helps when the babysitter comes and has to get new socks for the wet ones they get when the toddler needs to be changed for whatever reason.
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