We celebrated by going to a parade that my kids were in (they are in the marching band) and then there was a gathering at the local historical society building which is where the parade terminates. They dedicated a new tree to a local veteran who had fought in WWII and had just died. The parade official also called everyone one out by the war or operation that they served in, and finally, we had two trumpet players play taps to the flag. One played it right next to the flag, and when he was done, a second trumpet player was standing off in the distance behind the old building played it. It was quite moving.
After all of that, we went back to our house, and had a large cookout with both sides of the family to honor both my father and father in law who both served (My Dad in Korea and my Father in Law in Vietnam).