Right on, Doug. I do the same, keep it in sport always, shift at higher revs and lift off the throttle with the shift. Smooth as a baby.....wife and kids don't feel any pain. Speaking of the rear seats, I use it all the time for my six year old and my fifteen year old. No issues at all.
The back seats have been used less than 10 times, but I only recall people saying can we just drive around vs this sux back here.
I drove for 2 weeks around Europe with my wife and two kids (10 and 7 at the time)-- no problem. A bit tight on luggage space for the 4 of us, but otherwise it was great.