Joy vs. Sin; How do we reconcile the two?

I read Spurgeon's sermon on 1 John 1:8-10 the other day. It was powerful to say the least, but brought up some questions for myself as well. For your convenience, here I quote:

"[8] If we say that we have no sin, we are deceiving ourselves and the truth is not in us.
[9] If we confess our sins, He is faithful and righteous to forgive us our sins and to cleanse us from all unrighteousness.
[10] If we say that we have not sinned, we make Him a liar and His word is not in us."

Everyone knows that we are sinners, right? Well, in his message, Spurgeon classifies several ways of this so-called "denying one's sinfulness." I will fly through these for the sake of time and space.

First, there are those who are so anxious to be fellowship with God that they deny their present sinfulness -- the desperates. Second group of people concerns those who claim to lack all tendency to sin for they have received the Holy Spirit. Thirdly, there are those who claim to be not bad at heart -- the good-willed.

Then the fourth kind of persons, may yet be the worst case, yet the definition tends to apply to most of today's "religious" people. I quote from Spurgeon:

"... they confess that they have sinned, they think themselves now to be in a proper and fit condition to receive pardon. "We have prayed," say they; "we have repented, we have read the Scriptures, we have attended public worship, and are as right as we can be: we have tenderness and contrition, and every right and proper feeling; our wonder is that we do not receive salvation."... if any man dreams that he has a fitness or preparation for divine grace he knows not what he speaks upon, for in the very nature of things the only fitness for grace is the need of it."

From the Scriptures, we know that one's good deeds -- especially one's religious deeds -- are not able to bring one salvation. The salvation does not exist outside of Christ. "In the very nature of things the only fitness for grace is the need of it," and in this fact Spurgeon is undeniably right. For even in our own hymns/songs we tend to excuse, and even beautify, our sinful selves. We say that "we lift up our holy hands" to praise Him. In Nicole Nordeman's song "Why," God says to the distressed Christ on the cross (an understatement on my part) "that child trembling by her father's side is why you must die."

Not to speak ill of any particular musicians; it's just our tendency to defend and glorify ourselves. The truth is that we are not the innocent child figures. As much as we would like to deny the reality, we are the high priests, the scribes, the Roman soldiers and the mobs on the foot of the cross, cursing and blaspheming at Christ Himself, the Son of God. Which is why all the more we need grace. Which is why all the time, all the time -- aside from theology and tradition and doctrinal differences mild or great -- there is Christ. Which is why it is faith in Christ alone that justifies one's salvation.

Spurgeon further orates that "to confess sin does not mean merely on some one occasion to repeat a catalogue of sins before God in private, nor at certain set seasons to rehearse a list of our faults, but it means a life-long acknowledgement of our sin. We must take our places as men who have sinned, and never attempt to occupy the position of innocent beings."

Though I agree with him on what the true confession should entail -- I wonder what Spurgeon means by "never attempt to occupy the position of innocent beings." We are sinners -- so long since that word has lost its meaning. We are the most contemptible, degenerate, fiendish, rotten of all creation. Yet Christ suffered and rose to bring us back. On the behalf of this amazing grace, are we not the daughters and sons (John 1:12)? Are we not co-heirs with Christ (Rom. 8:17)? Am I not a friend of Christ according to the Word Himself (John 15:15)? Do the Scriptures not tell us that we are fellow citizens with the saints (Eph. 2:19)?

It is true that a life-long acknowledgement of sin is a difficult thing to keep in our conscious minds. In my own heart, the guilt of sin is almost always present; however the corresponding repentance and thankfulness are not. We are sinners and must acknowledge it and repent of it consciously. On the other hand, we are supposed to be delighted with grace every moment of the day. Here's my issue: Does joy compromise repentance? What is a healthy way to acknowledge sin? Are we to be constantly bound by the guilt of sin that we lose our joy?

I ask because when I claim that my life's purpose is to love God, to glorify God to the fullest, I often want to resort to "running as best as I can." This is not an inherently bad idea in itself, because Paul exhorts to run as to get the prize. However, I am not sure at all if my "productive efforts" is the best thing I can do. Isn't it broken heart, mind, and soul that God wants from me? Often times, I do not run the best I can -- I certainly do not try hard enough to break self. How can I reconcile my American way of life with verses like Matt 19:24? How do I avoid the sin of omission without losing every inch of me?

"You can't," I hear Christ and the saints say, and I come to the usual conclusion: I am not trying hard enough.

God help me.