Kathy Hilton teaches grandkids the importance of giving back

Kathy Hilton believes the holidays are about more than celebrations — they’re also a chance to teach important life lessons.

The Real Housewives of Beverly Hills star, 66, told People magazine at QVC’s Holiday House pop-up in New York City that giving back has long been a family tradition, and she’s now passing it on to her grandchildren.

“It's a tradition, and they're also learning too,” Kathy said. “We do several toy drives, and I did a big pajama party, which my daughter Nicky and I do every year. And we give a percentage of the pajamas to Children's Hospital.”

Teaching generosity, however, can be a challenge with very young children. Kathy shared that she’s still explaining the concept to her daughter Paris Hilton’s kids, Phoenix and London, both 2.

“They [saw] all these unwrapped toys. They're very polite, but they're kind of going like, ‘Are these for us?’ ” she recalled.

“So I explained to them,” Kathy continued. “I don't think they understood, but [I said], ‘No, they're not for you. These are for other children who are in the hospital or not as fortunate.’ ”

She added that the toddlers were “very well-behaved” and “didn’t touch” the toys, calling it an important teaching moment.

“And then we go down — once they get a little older, we take them down with us, and we visit with the homeless,” she said.

“It's really heartwarming,” Kathy added. “So we're like elves [setting up gifts], and my girls, my boys, my husband, we love it.”