One of my favorites trips to Disney was when I was in college and I went with group of 7 other friends on our Spring Break! I'll try to list some our favorites then (and I'm only 28 so it wasn't THAT long ago

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We usually ate breakfast in the room or on the go (granola bars, etc) but one morning we ate at Crystal Palace for a late breakfast. Had lots of fun and enjoyed the food and didn't need to eat again until dinner!
We ate at San Angel Inn in Epcot for lunch. Some people here don't care for this place but we had a great time here (atmosphere is FANTASTIC) and I've been back several times since and always enjoyed my meal. Eating here (or any other sit down restaurant) for lunch is a less expensive than having dinner there.
We all really enjoyed the ESPN Club at the Boardwalk, a little less expensive than many sit down places and a fun place to hang out.
For our "splurge" meal, we ate at the Yachtsman Steakhouse. I don't really remember a lot about it -- the food was good but I seem to remember feeling like the service was a little "stuffy". I'm not sure they were thrilled about serving a table full of college kids. (And we were all "good" kids -- excellent manners, dressed appropriately, not at all loud or boisterous... oh well). If I had to do it over again, I think we would have done Le Cellier instead.
Other places that I didn't do on that trip but that I've done since that you may want to consider:
Columbia Harbor House is my favorite counter-service in the MK
The Plaza for a nicer alternative to counter service.
Earl of Sandwich at Downtown Disney
Rainforest Cafe at Downtown Disney
Tusker House in the Animal Kingdom
If you want a little bigger "splurge" perhaps California Grill - depends on the budget.
Ya'll will have a great time!
