Sorry for my extremely delayed reply, but while I agree that the way you are describing will in fact work. I really don't want to have another machine, or even thin client if not needed. I tracked down one walkthrough where someone did in fact get what I was describing to work.
[GUIDE]HOW TO: Two Monitor/Keyboard/Mouse/Users on One PC in Windows - techPowerUp! Forums
It's actually pretty simple, except in the part where I have to choose removable devices, usb devices don't even show up. Whether or not vmware removed that in the newest version, or I am doing something wrong, i don't know. But if anyone is still willing to work me through this I'd greatly appreciate it. Now that I know it is indeed possible, I feel like I have to get this working.