Well lets see where to start....
For the camera I ended up getting the Rebel T1i or (500D) and I love it. I am quite happy with it. The 7D is nice but I like mine better. LOL Its lighter, smaller (I have small hands) and also the 7D has some things I am not crazy about. For instance if you want to use the wireless remote if have to manually focus it. My hubby John has the new 7D and it seems the only lens's that really seem to work well with it are Canon's L series and the Fixed Focal Lens's. Even with the lens calibrator option his Tamron lens was still soft most times. He didn't have that problem with his old camera. So really the new Rebel is perfect for me...

Camera Lens's
As for lens's heres what I have and what I have decided I want...
I own
-Canon 20mm (this is my newest lens... I love it! No need to keep backing up and backing up some more to try and get a full body shot or group shot. This lens is going to really come in handy.)
-Canon 50mm (the $90 dollar version) I have wanted to upgrade this lens since I seriously got into photography. I just love the 50mm. The better version is quieter, faster, built better and it looks more professional. Its nice to look profession when doing sessions. Mind you my 50mm has been a wonderful lens and still is but there is something to be said for the better version.
-Canon 100mm Macro Lens (I LOVE LOVE this lens.. so crisp... One of my favorite lens's by far)
-Canon 55 to 250mm IS Lens (This is a nice zoom lens and it seems to do a pretty good job

Its relatively new so I look forward to shooting with it more.)
Want/Need to buy
-Canon 20mm Lens Hood
-Canon 55 to 250mm Lens Hood
Eventually (hope soon) want to buy
-Canon 50mm 1.4 Lens and its lens hood (as explained above)
Sometime down the road but in no rush to do so I would like to get Canon's 200mm 2.8 Fixed Focal Lens and the 2x Converter for my long lens or zoom as it may. I just like fixed focal better. Once I do that my camera gear will be complete for a while as those are what I have decided I really want now. I am in no rush for this lens though... in do time.
Now got to get an area ready for shooting... so once Caitlin goes to school next year I am able to slowly hopefully do something with this. I wanna shoot more but with her home its just not an option. She has to come first.
So those are my thoughts...