If you have a school age child, be sure and preserve any papers you choose to keep such as a first test, awards, or artwork by laminating them. This can be done using laminating sheets or clear contact paper. Both protect from tears, while contact paper tends to be a lesser expense. You can either laminate the paper seperately, or glue it onto a piece of construction paper. After laminating, punch three holes to match up with the binder and add in as a page.
Pictures are a great addition.
If you don't want to worry about keeping up with awards, then just take a picture of your child holding the award. Cut the picture out into any shape of your choice. You can use craft scissors for a special effect. Pinking sheers also give it the same effect at a lesser cost. Glue to construction paper, laminate, and you have a beautiful page.