Mhm, Fontstruct's pretty boss for quickly knocking up fonts.
It even has a nice "pixel" option that'll tell you what size to set your .TTF fonts so it looks all retro. They have it listed as a thingy for Flash games, but it's universal as you'd expect.

Personally I prefer blitting text, but if you're into using font stuff it's the best way without having to spend hours manually vectoring every character.