[damoncali]

I've done all three. Working for the man is the easiest and most soul-crushing. Shaking the idea that you are wasting your life away is not easy - because you are.

Working on a startup is the most difficult, and the most draining. It requires some personal sacrifices that have negative side effects, even if you don't buy into the "work 100 hour weeks" BS. Emotionally, it's draining. Financially, it sucks - until it doesn't (if you ever get that far). Once investors step in, the stress ratchets up and things just generally become a pain in the ass. On the plus side, you're living it - making something from nothing in an all-out effort. To bad "living it" gets pretty old after a while (and it takes more than a while to get something good going).

Consulting is a great balance for me. I work on my own stuff a lot, meet great people, do interesting things and generally live a low stress life. Financially, it's ok. I'm not getting rich, but it's better than startup pay (.i.e. zero). The one drawback is the nagging thought that your side project could be a "real startup" if you just put more effort into it and got some other people involved...

So basically, pick your poison. There's a flavor for everyone.