I use Windows Exchange Server (IIS) as well as XP PRO for my work stations in my home/virtual office.
I have only TWO real software applications that require Windows and all else can run on another OS.
First off, I don't "hate" Microsoft and I love a lot of thier products; however, I "DO" look for alternative ideas in the event there is something new or and old idea whos time has come.. or something like that because the world is an evolving place.
A friend introduced me to Ubuntu Linux www.ubuntu.com and I began experimenting to see what works and what doesn't work. Now, I have not loaded an OS for my self until this.
I downloaded the Ubuntu Linux as an ISO and burned it onto a CD. It allows me to run it live or load it as a dual boot. I chose to install a second hard drive and load the OS on there so as not to risk corrupting my current Windows install (remember, I don't know what I'm doing in some areas so I want to play it safe).
I have found that back in October the installs were easy but getting things to work were like major brain damage. I later loaded the Ubuntu onto my wife's laptop and to my surprise, many of the items that killed off so many of my brain cells were no longer an issue. I have loaded the OS for my grand kids becasue there is Edubuntu for kids and the install and multimedia went even more smoothly.
Since I enjoy digital photography, I did some searching and found there is the beginnings of a creative suite called UbuntuStudio.org that is at the moment, crude, but there is the ability for RAW file support. Then there is the GIMP software for doing things similar to Adobe.
My Firefox works well as well as Adobe reader V 8.0, etc.
I'm not ready to move from Windows to Linux for my work environment, but my wife, who is a REALTOR uses it exclusively as an OS along with Open Office.
Your kids, if they play video games, are going to want to remain on Windows as most games are written for a Windows OS.
I only have experience with the Ubuntu "distribution" of Linux but I do like it for a variety of reasons that include a corporate sponsor, Canonical.com, a forum of knowledgable and somewhat polite folk, and a strong sense of organization, systematic new releases, a focus on becoming main stream for the consumer, etc.
I like the concept of open source whether it is free or paid for in some way and I've been known to spend more money on software in one month than most people earn in a year so I don't need free software - but I "DO" like to keep business costs down too.
If an OS can be distributed at little to no cost and the companies can earn income from support or other engineering services, then that is OK by me as long as it works for them.
I believe that you can have some pretty good things happen when creativity from around the world goes into producing something.
I would recommend that you experiment in a safe environment to see what works for you and your family. I would further recommend the www.ubuntu.com only because that is all I know and then do some Google searches to see where things are going with them.
These are just my thoughts based upon my own personal experience and I make no claim to having any special answers or that Linux is better than Windows, etc.
If Linux can meet my needs, then I would switch but until that time, I'm still with Windows - but I do have my eyes and ears open as things evolve.
Best of luck to you.