Killer Kitchen System under $800 or so?

Small/Medium sized kitchen, hoping to get something that I can hook up to a Sonos or Airport and stream wirelessly. If you have any advice on a smaller DAC to accompany the speaker, please go ahead!

I'm guessing most suggestions will be along the active monitors like Quad, audioengine, Swan, and Kantos, but any other ideas are very much welcome.

I could mount on stands at a distance as well, but something countertop would be preferred. Thanks for the advice!
Maybe not ideal or what you are looking for but my kitchen system sounds incredible and especially considering what it cost.

The speakers are Insignia NS-B21111 Bookshelf Speakers from Best Buy. I paid $35 for them 2 years ago. The amp is a Lepai Tripath Amp from Parts Express. It's 20wpc and it's cost was $19.95. My sources include my Ipod or a DVD Player from Best Buy called Dynex DX-DVD2. Cost: $29. I'm also using an old Audio Alchemy Dac-n-The Box and I don't remember what it cost when it was new, well over 10 years ago. The cables are whatever I had laying around, including a pair of Nordost Blue Heaven Interconnects and home made speaker cables.
This is far less money that you are prepared to spend but it certainly sounds great. The amp/speaker combo is perfect. I have 3 high end systems in my home with brands including Magnepan, Vandersteen, ARC, Quicksilver, Audible Illusions,Benchmark,Basis, LessLoss, Shunyata,Bryston, Snell,Counterpoint, etc. In other words I have good sound elsewhere in my home and this cheap little kitchen system is a marvel to listen to as well.
Used Creek integrated, Squeezebox Touch, old KEF Q10 speakers. I just helped (advised) a friend put together that exact system for well under $800 and it is amazing.
I am about to buy Audioengine myself for the computer which happens to be in a small kitchen. Just can't decide whether to buy smaller A2 or bigger and better A5. Price difference is really insignificant but I may actually get the smaller ones because I could take them with me wherever I go and use them with computer or ipod. They are also multivoltage.
Never heard them but with 30 days return policy and easy shipping that's not a problem.
I chose mAudio powered monitors for Sonos in my kitchen. IIRC, +/- $400 for the Sonos zp and $200 for the powered mAudios. Just fine for the application. Not gonna make me sell the Ohms, Merlins, Verities, etc., but just fine for the job (and the $).

Good Luck,

Self powered speakers are the best way. then all you need is a source.
I have a dirt cheap setup with computer speakers ($125) and a Goodwill special CD changer ($10)
Sound is great.
With $800 I would buy the A5 Audioengine speakers and find a cheap used changer.
I really like this one:

but the Sony one is nice as well.
Keep in mind that in a kitchen you won't always be even close to the "sweet spot". Most of us move around in there. Also, with guests they will most likely never be in the middle.

With that said, I use big in-wall paradigms mounted fairly high up (consider that you will be standing usually) with a really clean amp. If money didn't matter, the speakers would be Thiel Powerpoint or Triad.

I mounted them so the center is at my stove where I'm cooking. This way the people sitting at the breakfast counter won't have one channel totally overwhelming them.

My DAC of choice is always a Musiland. However, if you are going in wall on the speakers, go in wall on the rest of the system too? Or at least hide the gear and have an in-wall IR sensor and volume.
My wife is using a Teac Reference mini all in one (CD, Internet radio, integrated) in her office that costs about $500 . Quite impressive for the price. A cheap used DAC and a pair of speakers and you are ready to go.
The airport or sonos into an HRT Streamer+ asynchronos dac into NHT M00 powered monitors.
anyone used in-ceiling speakers before?
I have some and am replacing them as I renovate. The problem with them is that if you stand under one speaker, you really get too much localized sound from that channel only. The only way to effectively do in-ceiling is either with dual voice coil single speakers or go mono. I just replaced really good niles speakers with a single Martin Logan dual voice coil to eliminate this problem.
The other room with ceiling speakers already is renovated. I intend to get another martin logan and use the other hole for a subwoofer(it's the top floor of my house and the attic should make for one heck of a baffle).