Huatulco is a hidden gem: great beaches, superb infrastructure, luxurious and affordable accommodations, delicious food, direct flights (from Houston), and best of all, most of the typical American tourists quarantine themselves at a few hotels, leaving the rest of the area feeling way more authentic and off the beaten path.
We stayed at Cosmos, which was an excellent home base. It has its own lovely beach, glamorous pools, and is a short drive from town.
Pack light-- the two mega-grocery stores, Super Che and Soriano Hiper, have literally everything you might need.
Explore La Crucecita. By dinner time the town bustles with family-friendly activity. We especially enjoyed meals at Sabor de Oaxaca and various taco street vendors. Try the al pastor tacos carved directly from the roasting spit!
Far and away our favorite beach (with calm waters for our small child, and relaxing swimming/snorkeling) was Playa La Entrega. A short drive from town (or Cosmos), once we discovered this beach we went every day.