For travel to and from the Iberian peninsular, and possibly as a hub for your travels in Europe, look at Clickair which is new, albeit an Iberia spinoff. They have a growing range of destinations, principally centred on Barcelona, but with other hubs. I am a frequent user of one of their routes and have had no problems,, other than an ill controlled screaming two foot goblin (impersonating a child), sitting immediately behind me, same one, God help me, on two separate flights. Were I a Buddhist I would have concluded that I had been Stalin in a previous life! Given the Spanish tolerance of rugrats and ankle snappers, expect no sympathetic response from the cabin crew, (such as the provision of smothering pillows, axes, boiling oil and other perfectly reasonable requests). Perhaps the A380 and Dreamliner will have space for a naughty step - outside. Apart from that, the CA are friendly and well groomed and I have neve been let down. Oh, and they leave you in peace and quiet.
Avoid Ryanair like the plague, unless you have both rectal surgery scheduled and are totally deaf; if you are facing that unhappy prospect then use them, because 2 or so hours in their new bus shelter seats must be the perfect conditioning for post operative trauma in that department. Similarly if, after many years in aviation,you have any remmant of hearing left, expect it to be removed by sales pitches for lottery tickets, train tickets, anything that might leave you to snooze and get where you want to be quietly and effeciently.
Air Berlin are excellent, as you would expect. Sadly they have given up on my own positioning route, but, given their title, have a rather idiosyncratic route structure that may suit a wide ranging tourist well.
I would also echo earlier remarks about rail travel in Europe, it is a wonderful way to travel and in some places there are still rails and, unlike parts of the USA, not just rust marks! There is a website, I believe it is called the man in seat 69, I will try and find it and post it later, it is an invaluable source for travellers.
Most important, welcome to Europe; Our home - your family.
God Speed and Welcome