I love the tooth fairy!
We have a special pillow that has a little pocket that you put the tooth in and hang on the doorknob (this after fruitless searches under pillows in the dark).
Then a trail of glitter (Fairy dust) leads to a random hiding place where a new toothbrush and flavored toothpaste await with a silver dollar.
I also started the "Orthodontic Elf" with my kids. They got a new video game when they got braces (to keep their mind off the initial pain in their mouth) and they "Ortho Elf" brings their favorite icecream or yogurt when they get their braces tightened monthly.