We never used life vests, but none of the kids went in, or near, the water alone. Plus, I never get in the water with them, more than waist high, without my fins.
With that said, I don't see anything wrong with using one. Especially if you think theres a chance they might slip away from you. I agree, without a life vest a toddler would have little chance in a riptide. Unfortunately, many people drown trying to save people in riptides. That's why I have my fins by my side every time we go to the beach. I swim every day, and have been caught in riptides several times. It's a sick feeling even with fins. Without fins I probably wouldn't typing this.
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