Now I have a minute to process these responses
I know "best" is a terrible word to use but you guys got the meaning. I am looking for a "good as it is" 5.1 setup, not necessarily something I am going to add to or update simply because I have 5 speakers now not 2 good ones and wait.
To clarify my use for this system further and hopefully narrow your advice, 2/3 TV/ Movie and 1/3 Music. I will use music on the speakers more than the average home theater but TV is still the primary function. In addition, the room is approximately 15'x18' (total guesstimate), so not huge.
lsiberian, I looked at the speakers you recommended and have no issue aside from buying an extra speaker (could I use it in 6.2 or is that such an uncommon audio format its not worth it?). I am relatively unfamiliar with audio installation and receivers in general. Can you just hook up 5 speakers to the various position ports on the back of the receiver and be on your way? Can you do basic calibration with the receiver you recommended? I always thought there was a reason to putting smaller speakers in the rear as it is not primary sound, would there be any balance issues with have 5 identical speakers for a 5 channel setup? Also, would the receiver be able to run 5.2 or would the two subs simply be chained together distributing identical sound? Based on my room size I would think I want those slightly smaller Dayton subs and save myself $40. The speaker sets are also now $130 a pair so I am happy as far as the budget goes.
If anyone else has more ideas on connecting a PC to a receiver AND a PC sound system I'd like to hear.
Id love recommendation on cabling (monoprice?) and speaker stands!
Thanks guys so far for a place to start!