UPGRADE

Meant to say I guess for some background. Record mostly 1,2,3,4 piece acoustic stuff. upright bass, rockabilly, folk, jazz etc...

If your wife really loves you she would buy you producer....

Maybe something from this page.

Nice set up - your wife will really have to drop some bucks to upgrade the hardware component.  I thought my wife was nice to let me buy a Portico II channel, but she didn't pay for it (and she still gets to sing through it).  But a good compressor is nice to have on your ins, just to pre-squeeze things a little.  It helps settle a track into a mix w/o stomping all over it.  Which to get?  Depends upon how much cash.  The FMR PBC is a good character comp - should work well w/ the A-Designs - and is about $400.  Some people like the Art channel, which is cheaper, but if I was in your shoes I'd go for the best quality she could afford.  Or have her get you a 500-series rack that you can fill in.
 
On the software side, the Softube Mix Bundle that came through Cakewalk was a really, really nice addition.  If it goes on sale again, have her jump on it.  It has a couple of pieces I use all the time - the verb (not so important now w/ Breverb), the FET is a step up from Cake's, and the focusing EQ is great.  Cakewalks Re3 leveling amp is another good buy.  UAD is still good, but that seems like a never-ending cycle.  The lastest software needs more CPU, so you upgrade the card but in a year you need another one.  Still, I know pros who have given up on their hardware and use the UAD.  And it is cheaper than good hardware.

Sound setup/absorption/traps etc is "ok". Could always use improvement and I do in little steps realizing it's never going to be top notch. 
Softube Bundle? I know it came with Nomad Factory Blue bundle but that's different correct.
 
But a good compressor is nice to have on your ins, just to pre-squeeze things a little.  
 
This was actually in the back of my head as my main option. The A-Designs Pacifica is awesome but either it's hot or the mics I am using (Mainly Miktek C7 and 414) are too hot, because I have to Pad it and have gain to almost nothing. I had thought about adding a comp before going into computer. 
 
I meant to add, budget would $1000, and I would spend a grand myself, so let's say $2k

The Melodyne deal ($149) to upgrade to Editor is great if you are working with Audio tracks, particularly if you can record your acoustic bands with reasonable isolation in a dead room with directional microphones

How bout some high end monitors or headphones??

I really love the RND compressor in the Portico.  A stereo unit is about $1800, but you can find them used on E-bay for $1200.  Having a high quality stereo eq to go in as well as mix through is a really nice thing.  Nothing quite like analog compression.  The RND has feed forward as well as feed back modes, for a more modern sound or old style compression.  Top notch unit.
 
My other suggestion is over budget, but Rupert Neve Designs.  He's making his old designs again - the Shelfeld series.  The man who originally designed the 1073 Neve preamp redoes his classic, as well as an inductor EQ and compressor in a single unit.  Couldn't use it for mastering unless you are doing mono, but coming after your A design would be sweet.  He's just brought them out, so I haven't heard them.  Supposedly run on big rails like the Portico II w/ plenty of volts.  We'll see.  Another good thing is, after spending $3000, you won't lose much on resale.  If you ever want to get rid of it, that is.
 
Finally, a nice hardware reverb/effects unit.  Again, I can hear a difference.  Sublte, but there.  Those are all over the place, price wise, but something w/ Eventide stamped on it is better than anything you'll get inside a computer.
 
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notfadeaway...
 
Softube Bundle? I know it came with Nomad Factory Blue bundle but that's different correct.
 

The Softube Bundle was an extra you could buy.  It works in the ProChannel as well as effects bin.  It was $179, then dropped even lower.  I don't know what it goes for these days, but I think Softube will still get you the PCable version. I just updated today.
 
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Wow, cool to wake up to even more opinions and advice. Sorry for leaving some things unanswered. I do have an M-Audio Axiom as midi controller and only have Trilian and EZ Drummer with a couple kits. I'm really not focused on getting the BEST sampled drums as my stuff is mostly acoustic and I use it as a glorified metronome.
Intriguing about the Komplete especially if I could get Softube bundle..
I think I'm definitely gonna step up to Melodyne Editor as someone suggested. 
Funny someone mentioned the monitors and headphones. When I bought the Event Precision 8 monitors I thought they were the cats ass. I'm now thinking besides lack of talent that they have been my biggest enemy in getting good mixes. I still haven't figured them out after 7 years. They seem to fake me out with what I recorded vs what I'm hearing. Also I have the DT770 headphones, is there upgrade from there that's worth it? I don't use them much
I had definitely thought tube mic or mic pre.
One of my biggest obsessions of late has been delay plugin. I have searched high and low and leaning towards echo boy or Voxengos.

The best way to upgrade those DT770's is to run them through a Focusrite VRM box. I have 80 ohm DT770 Pro's and the combo is pretty amazing. I think there is a Melodyne Editor upgrade discount for X3 users. I didn't get the email but a search will probably bring up the discount code.
 
Rocky

Sony MDR 7520 headphones
 
http://www.bhphotovideo.com/bnh/controller/home?O=&sku=758138&Q=&is=REG&A=details   <--- best price I've seen.