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When it came to figuring out Halloween costumes, 2½-year-old James, Lively's daughter with husband Ryan Reynolds, had the perfect idea. "My daughter suggested that our youngest should be Mike Wazowski, so I thought, 'Great, we are all going to get to be different characters from Monsters, Inc.,' " the mother of two told PEOPLE. "But then she suggested the baby be Mike and that she gets to be Cinderella." "Or that she gets to be Moana and the baby gets to be Hei Hei," Lively continued. "Or she gets to be Anna [from Frozen], and so you would think the baby gets to be Elsa. No, the baby gets to be the gecko from Tangled. Basically, the baby gets to be the goofy animal sidekick, while our daughter gets to be the princess."

Ryan Reynolds Best Husband Ever

Ryan Reynolds Best Husband Ever

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