That is certainly a solution. i could set up separate contacts for "home", "husband at work", and "husband's cell phone". But it seems simpler to keep all him contact information in one place. Same for my kids, who also have multiple phone numbers.
A lot of Google services seem to assume that a phone number is only relevant for a single person. I think that's a design flaw, as it's often not true. It's not a big deal in looking up contacts, but google phone numbers are essentially broken, as it won't let two different google phone numbers point to the same home number. (and there are three of us who would like to have the google number ring there at least some of the time.)
if you add "The Smiths" phone number to Mr., Mrs., Sally and Jr., it's still "The Smiths" phone number.
Harry Smith could be calling you on your caller ID, but it's really Jr....
i don't know any way around this, personally, short of the suggestions listed above. There's no solution for what you're asking. What do you want, voice recognition? And I'm sorry if that comes off a little snarky, but I honestly can't think of a way to handle a grouping of contacts that use the same contact information. What it sounds like you're asking is a way to create a "The Smiths" phone book entry, and marking it as "show as incoming call" so you don't jump to conclusions of who is on the other line.