I'd play the $2 single table SNG's. 3 out of 9 are paid, and the $0.25 rake is a much smaller percentage than the $0.20 rake on the $1 SNG's. Remember that a third of the players at this level are pretty much incompetent. That's good, but only if you're patient and can live with a few lost games due to suckouts from poor players getting lucky. Unfortunately you don't get extra credit for having your chips in with the best hand if the 20% outer comes through.
The CardChat
freerolls and money-added tourneys are great ways to play against better competition with little or no risk to your bankroll.
I started with about $12 in a Fulltilt freeroll win (Razz, I think, although I play NLHE almost exclusively) and have worked it up to more than $1600 through mostly single table SNG's, now alternating between $5 and $10, occassional MTT's, and CC tourneys. I've also played a few Fulltilt Poker Academy Sit-N-Learn freerolls, which are easy to qualify for and have a nice potential payout.
By the way, the poker play on the weekend is somewhat different than what I find during the week. My ROI is much lower on Saturday and Sunday, due mostly to my inability to adjust to the unpredictable weekend play (IMHO).