I just use the Hulu Plus app. Yes, I know I could try and go a free route, but since the $7.99 is my only movie/tv watching expense I don't feel especially tempted.
There is plenty to watch, but it would be nice if they got more of their content available on the iPad. And they are. But it does seem to be taking a while. In the mean time you do get a few benefits from paying for Hulu Plus, even on the computer. Many of the programs that used to have expiration dates to watch now are available in my Queue indefinitely. Takes the pressure off keeping up with my favorite series.