You sound like you are on the right track. And I like the other input too!
As they get older the "toys" get smaller & more expensive I was always told...As your kids develop a deeper interest in a couple of activities the fees and equipment costs will increase, so don't be afraid to make part of that a gift.
My oldest(& DH) want this $300 baseball bat. Understand, he's a serious athlete & there are some significant expenses in addition - still I am like what?! That will definitely be a gift bday and/or holiday and maybe jointly with family. (Of course, I will shop around for deals if there are any to be had.) He'll also get a video game that I got a deal on, a couple of books (I shop the Scholastic Warehouse sale) and and probably an inexpensive professional sports team item.
But the reason for this is two fold, one it is a significant cost - at least in my mind but two, I see the kids smacking bats around the field and leaving them all over, this will leave an impression on him. If he knows it is a gift, one he values and feels he needs to advance his game, he will be more likely to treat it with respect.
As for my younger one - I see inequalities in these (of course he got tons of stuff hand me down some never used), but if his brother gets less he won't feel the need. But I do look for ways to "spend" on his needs as well - from music lessons to just set time together alone to do things.
I think that regardless of your financial security it is important it is to keep them humbled and teach them to respect & appreciate what they have.