How's this setup?

I wouldn't buy 1.65v ram, it's not too good for Sandy Bridge.

To be honest, for a gaming PC a 2500K is all you need. The extra cores/memory bandwidth is wasted on games and will not give you any additional performance.

And unless you are planning on adding another 680 in the future, a 1kW PSU is massive overkill. A good quality 650W will be absolutely fine.
 
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Also, is it worth buying liquid cooling?

Depends on what you want out of it compared to what your willing to spend ;)

My system was a fair bit more due to water cooling, but she is so very quiet, that alone was worth it for me.
 
You don't need an i7 for gaming for starters.

and that PSU is overkill unless you intend to sli or something.
 
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