Your going to love it. I did pretty much the same trip a few months ago - get yourself a convertible with Satellite Radio and a GPS would come in handy (on second thoughts that would be a pain if you are going with kids).
Make sure you go to Hearst Castle in San Simeon - about half way between LA and SF. There's a beautiful little bay there where they hire SUPs.
Hollywood is great for a couple of days, but I'd prefer to stay in Santa Monica or Venice Beach next time. San Francisco is great for a couple of weeks/months/years. If you want to take advantage of the strong A$ spend a few hours shopping at the
www.citadeloutlets.com/ in L.A.
Plenty of fantastic places on the coast: Santa Monica, Pismo, Carmel, Big Sur, San Simeon and more - try to spend some time there. If you feel like lashing out on a good meal with a view go to
www.geoffreysmalibu.com/ in Malibu for lunch. There are a plethora of fantastic bars/restaurants in San Francisco. For fast food make sure you drop by
www.innout.com/ for some burgers.
Yosemite, Sequoia, Joshua Tree and Death Valley national parks are fantastic.
The coast road North of San Francisco is more spectacular than the coast road LA to SF - would love to travel much further up that way next time - maybe all the way to Seattle.
Oh yeah, and make sure you stop off in Hawaii on the way there or back.
We found www.priceline.com pretty good for managing and booking accommodation as we traveled.