yes they will be able to see what you do base on the config you have, all traffic are going throught the first router connected to the modem,

Not enough information to fully answer your question.

Currently your Wireless Network is routing through your router handling the IPsec tunnel, hence the reason you are able to see everything on the Inside of your Company Network.

If your company has configured the Router #1 to use their internal DNS and they have the appropriate security enabled, then YES they could monitor all traffic from your "Home" going through Router #1 from Router #2. They would not be able to see the specific machine on the inside of Router #2 unless they themselves programmed the access. For instance, if you are connecting a Linksys wireless router (Router #2) to a Cisco 1705 router (Router #1) all they can see is the outside IP of the Linksys.

If they are not handling your DNS and instead using a NAT command with the IPsec to connect to the internal network, then no you are routing through your ISP's DNS server.

If your goal is to separate your Home & Work networks, the better option would be to go through your ISP and see if it is possible to add a second Dynamic IP to your service. If you currently have a Static IP for your Work Router, request a second Static IP. Purchase yourself a 4-Port workstation switch, and connect it to your modem. Then connect Router #1 & Router #2 to the switch (parallel), instead of through one another (series).

PLEASE NOTE: If your IP is currently Static, confirm that your ISP keeps that IP. Otherwise you may need to have your Router #1 reprogrammed. Also, if you have programmed any static routes in Router #2 you will need to set it back to DHCP, or set to the Static IP given by your ISP.

Not sure if they are handling DNS or not...when I go to whatismyipaddress.com I get the address assigned by my ISP rather than theirs.

Looks also like when I type ipconfig /all I get my own ISP's DNS servers. Does this mean I am secured here? I don't want to pay extra for two static IPs if I don't have to. Thanks for the reply by the way.

If you are getting your ISP's DNS then you should be fine as you are. It means that your internet traffic is being handled by your ISP, not your company.