Just today, a squirrel found a purple plastic Easter egg (the kind that has two halves and you can put stuff in the middle). It was larger than the squirrel's head. Anyway, he grabbed it off the ground, then ran over to some taller grass and proceeded to bury it. It made me and my husband laugh. He's going to be in for a disappointment when he realizes it doesn't have anything inside!
FYI, we have all kinds of toys in the backyard from the kids playing (2 and 3 yrs old). They've spread their toys quite effectively.
We have way too may squirrels this year, my wife has to cover all the spring planting with wire mesh to keep them from digging things up. I have a few live traps and I remove 2-3 every week, drive them about 5 miles away. But it doesn't seem to help much, other squirrels just take their place. We have a neighbor who feeds them peanuts, so they come to our yard and bury them, but I don't think they ever find them! But they dig everywhere looking for them.