I don't always have the time to install the hacks when I see the "Pending restart" status so I usually let the update occur naturally on my S3's. It was a different story when I was running the HDTivos since I could hold off any updates until I could install them manually.
I prefer to pull the drive after taking the update so I can create a virgin backup image before reinstalling the hacks. It's a simple matter of copying the files from the old partition to the new one and neutering the kernel while I have it installed in the PC. Once I copy everything over and create the backup I telnet in and install the tivoapp patches. The process isn't all that much different than the one psxboy uses except it's done with the drive in my PC. Aside from creating the backup image, the time frame for installing the hacks in a Tivo environment vs. a PC is negligible at best.
I always create a backup image for new software so the drive has to get pulled at some point to do it. If I have the notion, I also make a backup of the hacked drive as well so I don't have to reinstall squat if I need to replace the drive for some reason. What I'm surprised at is how many people don't make a backup and are just waiting to get bit in the a$$ from a drive failure. That's something I'd expect from a rookie, not a seasoned Tivo veteran.
Leaving the drive in the Tivo is certainly convenient, but it's a risk I'm not willing to take.
I have easy access to my Tivos and have maybe one screw holding the drive bracket in place and nothing securing the cover so pulling the drive is no big deal for me. I also have a dedicated PC sitting in a small room about 8 feet from the Tivos that I use strictly for Tivo drive updates.
Please don't PM me or any other members looking for personal assistance. You'll do better by posting (after you've exhausted the search feature, of course) and taking advantage of the collective expertise of the membership instead of a single individual that may or may not be able to help you. Thank you and enjoy your stay at DDB!