I think what is also important here is how you treat her. Have you done any informal training?
Even though she has been through a lot, she needs to know that you are her leader and you will protect her. She also needs to know that it is not acceptable to bark at your children, or wake you up at night.
Sometimes, when one adopts a dog with a rough past, they tend to coddle it to make up for what has happened to them. It's imperative that you do not fall into this trap.
I'm not saying that you're doing this, but from the statement I quoted and put in bold letters, it kind of sounds like you are trying to reassure her when she is acting in an insecure manner. You sound like a very compassionate person by nature and compassionate people try to comfort others.
This may translate into other interactions between the both of you. When she is panting and stressed do you try to reassure her? Dogs do not see this as reassuring and at the same time you may be reinforcing insecure behavior.
I agree with this but not for the reasons stated.
A strong leader - kind, consistent, clear - as stated above IS what she needs. When you do this you can also be reassuring, but in a different way than what people think.
You can start with doing NILIF. Dogs really thrive on the consistency of this. You don't have to do the big ignore: Nothing in Life is Free
I have a foster right now JUST like this. By just being her boss, kindly, I am reassuring her. She doesn't need to worry, I will take care of things.
When I took her to the eye doctor, that her previous person (placed in a nursing home) also went to, they said she looked SO relaxed and so good - because she was not worried about taking care of things like she was before.
I think this happens to our dogs when they become the caretakers, and it is a very hard habit to let go of for them. And it pops up from time to time and she does resource guard. But when they do let it go, they really can enjoy things.
Congrats and thanks for taking her in, baggage and all!