We took our son to Vegas last year when he was 9 and we had a great time. We stayed in a hotel off the strip with no casino -- it was called the Desert Rose Resort and it's right behind the MGM Grand, one block off the Strip. There is really a lot to do with kids, but if you are gamblers that might be a problem. Kids can walk through casinos (and in many cases it's the only way to get someplace) and can eat at a restaurant inside a casino (again, sometimes the only way to get to the restaurant) but they aren't allowed to stop for more than 30 seconds to a minute or the Casino Control people will tell you to move along. So if you want to go out gambling at any point, you'll need to find a babysitting service.
That said, though -- we took our son to see the Cirque du Soliel "Love" show at the Mirage -- which, if you like the Beatles, is a blast! There are other shows at the major hotel casinos that are appropriate for kids too. Many of the hotels have attractions -- there is a flamingo and exotic bird habitat at the Flamingo, the dancing fountains at the Bellagio, the roller coaster at New York New York, the talking statues at the Shops at Caesar's, the goldola rides at the Venetian, the classic cars at the Oriental Palace, and the pirate show (which is a little bit cheesecake these days and not as much fun for kids as it used to be) at the Treasure Island. There are probably others I'm forgetting -- stuff at the Excalibur, for example. Also, just riding the Monorail around town is fun -- our son loved it!
If you rent a car and can get off the Strip, there are some hotels that are also fun for kids to take in -- the Rio has a Carnivale theme and has giant floats that go around the casino and you can watch from the balconies above. The riders throw Mardi Gras beads at the crowd and especially at the kids. Circus Circus has, of course, a circus theme and some kind of show.
There's also a lot to do in nearby towns -- we went up to Boulder City one day and took in the Nevada Railroad Museum, complete with a steam train ride through the desert, walked around in Boulder City, which is a beautiful art deco town originally built for the workers who built Hoover Dam and has no gambling, but lots of great charm and shops, and we went to Hoover Dam which was very educational. We also took a day trip out to Red Rock Canyon, which is a gorgeous place! Also, we took a quick ride to Henderson (one town away) to the Ethel M. chocolate factory, where they have a world-class cactus garden that is fun for kids. Also, off the Strip on Tropicana Avenue is the Liberace Museum, which is WAY cooler than it sounds -- the collection of pianos alone is amazing!
You can find things to do with children in Vegas. It's probably less child friendly than it was several years ago, but if your kids are older than toddlers there will be plenty of family activity to do.
