Working with the bevel modifier is awesome! With it you can easily create round edges or even complex profiles for your spline work. Works with everything spline so that could be an exported spline from Illustrator, splines from 3ds max or text. You don't want to have perfectly 90 degrees edges (unless your going for a certain look of course) since it wont catch any light and it looks very flat. It's not only awesome for text but it rocks for making things such as all types of kitchen doors, complex straight geometry with lots of holes etc. As long as you're not deforming your object you can quickly create some sweet looking geometry.
If you want to make further modeling tweaks you should keep the spline(s) as low poly as possible. Like i did in the video with the rectange and the circles, but lowering the vertices for the circles by giving them 1 step interpolation instead of the default 6 step interpolation. this will give them 8 sides which is perfect if you want to create a perfect circle with turbosmooth. Then just add the bevel profile modifier with a round corner (remember to keep that one low poly aswell) add an edit poly and use the cut tool to connect the vertices to make it quad, slap on the turbosmooth and call it a day!