Hi Oli- most of the tempura paints labeled as children's (ie, crayola, rose art, etc.) are washable. Our preschool used to just mix a few drops of dish detergent into the paint (don't know what brand) and it always washed out well.
When the kids were really little (and really messy) we often had them strip to their undies and paint that way. We also would paint outside sometimes- especially fun if you hang a big sheet or piece of paper from the clothesline.
Thanks! we will try those out next. Now we have Melissa & Doug paint and they are hard to mix. I'm not worried about her clothes as as a perfectionist I have developed a quite a talent on stain removal LOL I just don't want her to look like I painted her skin instead of her painting the paper.
ETA What kind of glue is good for little kids?