OK - I understand about the shortfall in expenditure, I think you need to take note of your mental way of prioritising money here - cut down (or out) what you can in terms of basic entertainment, birthday parties etc... The money spent on these could go a long way to helping clear debt and if you prioritise that first and then do free stuff for entertainment after you will be helping yourself.
I have the same comment re the 8k for outfitting the home, you were already 20k in debt plus a mortgage and you ran up the costs of decorating an empty shell - I realise there are some things that are needed new but you werent in a position to spend that kind of money and you did - when I first moved into my apartment, I paid for flooring, curtains and kitchen appliances - and the rest of it was free secondhand furniture, I only replaced the broken down old couch I had been donated 3 years after I moved in - same for the bed, tv, bookcasing etc....
The above is all just about attitude to money and making clearing debt the priority rather than having the things we want to have immediately.
To address your immediate situation, take another look at those monthly expenses, as has been said, some look high and may be bimonthly expenses listed. Keep a spending diary and look at where you can cut costs.
Make changes to lifestyle, cheaper shopping, free/cheap entertainment.
Can you sell anything? A friend of mine did a clear out and sold her 'junk' for nearly 500 euro at a car boot sale - an injection of that kind of cash to a credit card debt would help you a lot.
An evening/part time job for your wife or yourself? Delivering fast food?
Do you or your wife have any marketable skills you could teach - playing a musical instrument, grinds for students, nixers for carpentry/electrical/plumbing/handyman type work?
Have you looked at cutting back any packages/utilities - ie, moving to a cheaper electricity supplier, going to basic for the tv/broadband, cheaper mobile phone package?
How much is your car worth - could you sell it and get something cheaper?
Make sure you have applied for everything you can re revenue/social welfare - I notice you havent listed childrens allowance on income but you must be getting that?
In theory with your salary + childrens allowance, and your mortgage of approx 1000 a month you should be able to live well, pay your expenses, and work on your debt but to do so you will need a disciplined attitude to what you are spending and how to cut back and make lifestyle changes - but I think it is doable.
The spending diary needs to include every single cent that comes in and goes out, sometimes people are spending silly sums on work lunch or coffees or newspapers that can just be cut right out. Leave no cent unaccounted for - there is always some silly drain on the finances that can be addressed with discipline.