Hi Waite81,
My friend is sort of in the same boat as you (minus the children).
She'd lost a ton of weight, regained it and then some, got engaged and is now getting married in August. She's about 180 - 190 now (5'4) so she's been kind of down on herself. I don't think she should though because now she's at least trying.
Don't give up! From what you say, you're already at 160 (yay!) and if you lose even only 1 lbs per week til Sept. you'll be down another 15 lbs! One step at a time!
You can do it!