What do you give homeless people?

I went out a couple of times on Christmas eve loaded up with packets of cigarettes, a flask of hot tea and some mince pies to dish out to homeless people of Yeovil.

They weren't too fussed.... just wanted the fags and some money (which I didn't have).

Now, my 9 & 7 year old daughters get a bit down when we see people living on the streets and is insisting we go and help them.

So my question is, and im hoping i get answers from ex homeless people here, how should I best do it?

I can't afford to just dish out money and i don't want to support drug/alcohol addiction which more often than not is a causal factor in homelessness.

I also don't want to expose my children to drug addicts and alcoholics or any dangerous situation.

So what's the best and safest way to go about it?

What do the homeless want and need that the average joe is able to give them?