Here’s what I’d do:
I give my mom and dad a call and the convo goes like this:
Me: Hey mom, hey dad, remember that kid I became godfather of? They want me to give the kid a $2200 bedroom set for it’s second birthday.
Mom and Dad: Really? That’s just stupid, tell them to get fucked you can’t afford that. What the heck is a 2yo going to do with a new bedroom set, he won’t even care in 5 days. When you were a kid we HAD money and we made you a freaking bed and you loved it because it was a huge ass bed. Grandpa made the rest of your furniture for free and it was better than any junk you’ll find in Ikea.
Me: I was kind of hoping you could lend me the money. I don’t want to take my anger towards them out on the kid…
Mom and Dad: We aren’t stupid, we kind of figured that’s why you called. No, like we said, the kid won’t care and it isn’t your responsibility to furnish these fuckers house.
Me: Yeah, I know, I don’t even much like them but what am I going to do, say no? My godparents were one of my uncles and aunts and their sole responsibility was to take us if you guys died. That’s sort of what I thought I was in for. I didn’t know I was on the hook for $2200 every birthday. I do have a plan though.
Mom and Dad: It must be a great one, you’re brilliant.
Me: Anyhow, you guys give shit loads to charity every year right? You even canceled a trip b/c dad felt guilty and gave the money to charity? Well I thought you could earmark $2200 of your next years charity money and give that to a charity on behalf of the kid. Make it something cutesy that the kid will enjoy like the making bunnies cuter foundation or something. You guys don’t really care who gets credit for the donation right?
Mom and Dad: No, I suppose we don’t and I guess it does benefit us because the making bunnies cuter foundation won’t be calling us, it’ll be calling some 2 year old during dinner time. We should make all our donations under other peoples names. That way we can have a dinner without some asshole calling us. Aces, we’ll do it.
So yeah, the long and short of that is, tell your parents to give the money to charity on behalf of the kid. I’d love to see the parents [edit: of the kid your sister is the godmother to] try to stifle their anger when you give it to them.
Oh, and if you have a grandfather that is an amazing woodworker maybe get him to make the kid a bed. If he’s anything like my grandfather he’ll happily do it because he’s just that cool.
P.S. Sorry for the swearing, it’s how we talk.