Pawlowski6132,
I understand much better now. Money is a good reason to back off. Good decision. Also, a small square room like your size led me to a 2 year doctorate (not really) in acoustic treatment and I realized how tough it was to get the jr's to work in a small room. It can be done, but it's very difficult. I would heed others advice and look into the Cain speakers, get tubes, and look into room treatment when you have the cash. If your room/system was anything like mine the brightness/harshness is horrible, but it wasn't attributed to my system. It was the size of the room. Some blankets or treatment can solve that.
Headphones can be enjoyable. I listen to them regularly and enjoy them. You just have to realize they won't give you the same sensation, but they will eliminate the room problems caused by all loudspeakers in all rooms, so in taht sense, they are superior.
Anyway, hang in there, you have the rest of your life to get the system you want, so don't stress, just enjoy what you have now.