40+ hours a week of the 360 and you have 3 kids?? Your wife must hate you!
Maybe leave her the Wii as part of the divorce settlement so you can take the 360 with you!
My son's 4. The Wii is all he wants to do. Nothing else, just the Wii! I have to pull him off it so he can do other activities which are non-gaming related. I have kids games on my 360 (orginal Xbox titles) and PS3 and he used to love them but get bored of them after a while.
As far as friends coming over, well I guess I have more friends which enjoy the casual gaming aspect. We enjoy having drinks and making fools of ourselves by jumping around and all that. We play guitar hero like rockstars (wireless guitars are a godsend!), Singstar and other stupid party games which anyone can play. Many of my friends are non-gamers.
Personally I can't sit with a controller for that long and play an FPS. Especially when I'm getting drunk with mates. I'd rather actually have fun in a much more social way.