What is the ruling on saying: "O Allah, send prayers and peace upon our Prophet Muhammad and upon all his family and companions"?

Praying upon the Prophet, peace and blessings be upon him, is an act of worship with immense reward, and it can be done in any form, though the best form is the Ibrahimi formula. There is no harm in praying upon the Prophet with the mentioned formula, even though the Ibrahimi prayer is superior.