So this story has a happy ending.
I ordered a cheap Onkyo 7.1 speaker set (HT870) and it was supposed to come Friday. By fate, IMHO, the shipment was damaged and the seller told Fedex to not deliver and gave me a refund. At the time I was ticked off, but my wife was big on setting this up this weekend so we went shopping.
Went to Fry's and Best Buy and I was gonna get some Polk stuff but my wife urged me to go all out, break the budget, and get dream speakers, Klipsch speakers. So now I have this setup. It's all hooked up and fantastic.
Receiver: Denon AVR-890 (got it for $600 from Overstock.com, killer deal)
Front Speakers: Pair of Klipsch VF36 towers
Center: Klipsch VC25 Center Channel Speaker
Surround Back speakers: Pair of Klipsch VS14 surround speakers (Free from Best Buy with purchase of 2 VF36's and VC25)
Now here is where it gets creative:
Surround side speakers: Two satellite Klipsch speakers from Klipsch HD Theater 500 (Klipsch 5.1 Speaker Set)
Subwoofer: Sub from HD Theater 500 set (Klipsch 8" Down-Firing Sub)
[The remaining Klipsch speakers from the 5.1 set are going downstairs to upgrade some satellites in our 5.1 living room setup)
Also I have a BIC America V-1220 sub coming in the mail. Not sure how it will fit. I mean I'd love to go 7.2, but I worry about being able to sync up these two subs because they are different.
I think I did well, especially in the choice of wife department as on my own in this situation I would have gone all Polk and not splurged on Klipsch. My wife saw my face light up when I saw Klipsch and insisted we splurge, especially because speakers are a long-term investment. We already watched a few blu-rays in our HT with it and played some xbox 360 and "fantastic" is an understatement.