Itunes will only let me restore... but the phones working alright

i've had tons of problems with the iphone and have had to restore it about 8 times in the last month.... i was able to restore from backup last night, then it backed up the phone.
tonight i plugged it in to sync, backup, etc. and in itunes when you click on the (device) iphone icon it brings up the set up your phone page. it says "an iphone has been previously synced with this computer" and gives two options
set up as a new phone (or)
restore from the backup of:
and shows my last sync was today at 12:20 am
as if it wasn't bad enough i always have to backup and restore my phone cause its frozen, etc but to have to do it when its doing ok.... does anyone know how to get around this.
and of coarse i'm also dealing with the applications not working on my phone right now but i'm just gunna wait it out till the september update, cause all the restoring stuff is crazy.
so the problem i need help with is getting around the set up your iphone part.... i don't have a ton of new stuff to loose, but i am tired of loosing it none the less.

ok so i did take the plunge and i restored as a new phone, and it was so weird.... it actually synced the contacts and everything... then it started to install apps so i stopped it and set it to restore from backup....
so that saved my new calander, contacts, and bookmarks. unfortunatly you loose text messages every time you have to do this.... it would be so nice if there was a program for texts so it could sync text messages as well.
oh and i'm glad i remembered to download my pictures in iphoto before i restored, it would be nice if the pictures you took with the phone automatically synced in itunes... cause with all the problems we're having sometimes you forget you still have the ability to back them up.
i'm still very open to any suggestions for if this happens again in the future.... i sure hope apple has people reading these to see what they need to improve.... cause iphones are truly awesome... when they're working correctly.

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