Please don't give up on your love of quilting. If you need someone special to give your little one quilt to - may I suggest giving it to someone who has just gone through a house fire and lost everything they had. I know that when you receive a quilt after an event like this it brings happyness and comfort, and that feeling lasts everytime you wrap up in it. I can not think of a better place to give a quilt that you have put time -LOVE- money into. We all know as quilters that the fabric from the local quilt shop has SUCH A NICE FEEL TO IT!!
Also you can explain that people spend money on other things that are bad for them. Quilting is a scource of happyness, math skills, fine motor, and many other talents. Just think every time you quilt you are excercising your brain. At least that is what I think.