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Install lift kit, put the front of the frame on jack stands so the suspension/wheels etc hang free. If your splines are showing on the front shaft, it'll probably need lengthening. Rear shaft should be fine.

Nothing wrong with dropping the t-case, its just a couple spacers to correct angle. As long as the engine isn't banging against the firewall or something it won't hurt anything. In fact, I plan on dropping mine a little here soon... and I have extended drive shafts.

If you don't feel like spending a ton of money, rear shackle flip and front 52" spring swap+zero rates. http://diy4x.com/