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Western Europe on a Budget from US via Iceland

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Hello everyone,
I've been lurking a bit lately but it's been a while since I've posted. I've been reinvigorated to finally start setting the rough preparations for planning a trip to Europe. It's looking like the most reasonable time to go with regard to my work schedule is anytime between Jan. 2 and March 1. I was looking to plan 2-3 1/2 weeks but wasn't set in stone.
I had some questions for those who may have had some experience flying to Iceland as a jumpoff spot to continental Europe. I have been looking to get there for as bare bones as possible to maximize my amount of time traveling. I'm a 24 who doesn't mind roughing it and spent 6 months studying in Italy taking all the cheap airlines, late night buses, etc that you can imagine just to travel as much as I could. It appears I can find round trip tickets to Iceland from Boston for under $375 which is a STEAL. I know that this airline (Wow) charges for every single thing additional and luggage will cost about 60-75 which is fine with me. Anyone had experience with this airline service? I was going to use this as a jumping point and find an EasyJet hop off spot in Spain or Italy and spend the 2-3 weeks seeing a bit of Spain and a bit of Italy. I was also curious if anyone had experience getting back to Reykjavik from continental Europe. What would be a cheaper way to make it happen without wasting a whole bunch of time traveling. I don't mind spending the last day of my trip getting back to Reykjavik in order to save some dough.
Thanks for your help in advance. I apologize if I've rambled at some point. I tend to do that. Oh and if I can clarify anything please let me know!

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