I am feeling so overwhelmed right now....We are supposed to go for 5 days, but I'm thinking of extending to 6 (poly)....

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Micka -- don't get too overwhelmed! We are here to help you through this. :<) You don't need to know everything right now ... it will come! I promise! If you are able to extend to 6 days, I would say definitely, yes! With your small children and the breaks you will need, you will enjoy having a little extra time.
Let's take it one day at a time .... :<)
If you are looking at this from a budget perspective ... Day 1 dinner at Chef Mickey's -- great choice since it is close to where you will be staying (Poly). You can just jump on the monorail and be there in a jiffy. If this were me, I probably would not go to MK that evening. We would be tired from traveling and the short time we would have at MK that evening would not be worth the ticket price for that day. After Chef Mickey's, I would go back to the Poly and find a beach chair (or hammock!) and watch the fireworks over the castle from there. GREAT view and very relaxing.
Day 2 -- looks great!
Day 3 -- sorry, haven't been to Askerhus. Have you checked the menus? You can see all the menus here ...
http://www.allearsnet.com/pl/packages08a.htm#rest
Day 4 -- we loved Sea World! Dinner back at your home resort. Perfect!
Day 5 -- I think you'll want more than just a morning at MK. Another thing to consider is the EMH hours -- when you stay on property, you get to go into a specified park early -- or stay later than other guests. These are not posted for 2009 yet though -- so that may cause you to change your plans too.
Day 6 -- Maybe Animal Kingdom? Yes, this park usually closes earlier than the other parks -- which gives you time to go over to MK for the evening.
It always takes longer than expected to get back and forth between parks. It is unfortunate, but pretty much expected. We love the monorail and boats, so take them whenever possible -- it's part of the experience!
I know how it is to want to get it all planned out and in black and white -- but since the calendars are not out yet for EMH, it is a bit difficult -- great that you've been researching meals and stuff tho!
Sorry, can't help you regarding the Princess meals ... but I whole-heartedly think that Character Meals in general are the greatest. By having the chance to meet characters at your table, you save yourself bunches of time in the parks -- where you usually have to wait in long lines to have photos with characters!
Hope this helps! These are just my opinions, you may completely disagree! (shrug smiley would go here :<) ).