svn, git, or another good way is cloud service like dropbox, with dropbox you can share a folder with someone and they automatically sync.

Subversion, GIT, or cloud sharing is the way you want to go. You could use services like Github, or you could host/pay to have a server hosted. You could also zip up the files and put them somewhere.

I find drobbox is a nice and easy way to share code.

Sharing it as code, github. Sharing it as an executable, or simply a zip, dropbox or something similar.

Thanks, I think I'm gonna go with github for now. This is a little off topic, but how do you actually build or compile a project that's on github. Do you just open up he project in an IDE and build it? For example, i saw that torque3d was on there, so if I wanted to turn that repository/source into a usable product/executable, is that how I'd do it (I know that most of these projects have places to download binaries and such, but I'm just curious)?

Sorry if this is a stupid question.

No, you still build it locally.

Think of github like a remote mirror image of the directory on your computer, just that the mirror has the ability to save previous versions.

When you "checkout" from github, you are pulling down a copy of the files from the remote repository to your local computer. When you "commit" you are pushing the copy from your computer up to the remote version.

All the executing stuff, like compiling, linking, etc... still happens on your local computer in a local directory.

Not a stupid question, the git stuff is very easy, once you know it, and very mystifying until you do. Of course, once you run into your first problem, you wont call git easy anymore. :) At bigger companies, there are actually people whose entire job is to manage the build/version controlling for the project, so it's not a completely trivial thing.