So I found a way to "remove" the icon. Basically I was toying with the idea of changing the look of the icon to something more bearable. So I went into the Applications folder, clicked "Show Package Contents" then went into Resources and found the icon "Tsmall.pdf". While I was thinking "how can I change it to look better" I thought, hey why not just delete it.
So I created a new folder within Resources called "menubaricons" and moved all the menu icons in them to that folder (in case I ever needed them again). I restarted Typinator and voila, no icon in the menu bar. But if I click right beside the left most icon, the Typinator menu still comes down. So basically I still have access to the menu without the ugly icon. Now hopefully typinator will be the last program to load on startup as it seems to place hold a certain amount of area in the bar even if there's no icon. If it's not the last to load, I imagine there would be a strange blank space.
Not the most elegant but works, if anyone else has any other suggestions I'm open!