I pick up my LFM-2 after work tonight! As I have never had a subwoofer before, Can anyone shed some light on what size to set my front speakers on my 1070? I have Axiom M60's. Also, If I set them to small, what crossover should I use? I'm thinking 40hz.

Definitely set your speakers to small, and for the M60's I'd probably try 60Hz - they are rated down to 37Hz (-3dB), but with a 40Hz crossover they're going to be operating right at the point where they're rolling off. You could always try 40Hz as well, but 60Hz may give you a smoother overall frequency response.