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Free will is certainly a major component of the self illusion, but it is not synonymous. Both are illusions, but the self illusion extends beyond the issues of choice and culpability to other realms of human experience. From what I understand, I think you and I share the same basic position about the logical impossibility of free will. I also think that compatibilism (that determinism and free will can co-exist) is incoherent. We certainly have more choices today to do things that are not in accord with our biology, and it may be true that we should talk about free will in a meaningful way, as Dennett has argued, but that seems irrelevant to the central problem of positing an entity that can make choices independently of the multitude of factors that control a decision. To me, the problem of free will is a logical impasse – we cannot choose the factors that ultimately influence what we do and think. That does not mean that we throw away the social, moral, and legal rulebooks, but we need to be vigilant about the way our attitudes about individuals will be challenged as we come to understand the factors (both material and psychological) that control our behaviors when it comes to attributing praise and blame. I believe this is somewhat akin to your position.