How many billion people do you think the world can hold before the planet just says "fuck it".
shrinking a population is ALWAYS going to be painful.
Terraforming really isn't a solution either. If we wanted to use terraforming as a way to reduce Earth's population, we would have to have a way to remove colonists from the planet faster than the population growth rate. I just don't see space travel technology improving fast enough to allow migrations of the necessary scale to occur at any time in our lifetimes.
Kim Stanley Robinson's Mars Trilogy explored this problem. The story arc tracks the growth of a Mars colony from first settlement through a few million people. Earth at the time was experiencing problems with overcrowding. They were able to send a few million people to Mars, mostly against the wishes of the existing colonists. This action had no significant effect on Earth's population, but it completely overwhelmed the Martian society with people who did not share the same vision for Martian culture as those who had come before.