DSLR Cameras

Ok, so I've decided to go for a digital SLR camera for my birthday instead of another point-and-shoot. A friend of mine convinced me it would be worth it. I love photography and take pictures every day, and have not been satisfied with the photos lately. I don't know a whole lot about DSLR photography, but why not learn, eh? It would give me something to delve into and get passionate about. Well, the passion for photography is there, and I think I'm good at capturing great shots of the kids, I just need to develop the technical skillz. Maybe it would help kick-start my brain? And definitely my creativity!

Soooo.... I have been looking at/researching cameras, and I would love everyone's input. What kind of SLR cameras do you use? I know so many of you post fabulous photos all the time! Don't make me track you down.

I've been thinking about the Nikon D40 (or 60 or 80), but after actually playing with a bunch of cameras, am leaning towards the Canon Rebel XS. I think that would would meet my needs quite nicely, but also leave me lots of room to grow, and it's totally in my budget range ($600). What do you think? Any recommendations for a DSLR newbie photo enthusiast?

Thanks to those who already gave me their advice on facebook!