IIT is not the end of the world. You can be an engineer from any of the other colleges too if you really want to be one or you can choose an alternate career path too. I opted to do MBA post my engineering and am in a totally different field and pretty happy.

Don't be disheartened, if you want to do engineering from only one of the IITs you can drop the year and prepare again. Engineering from a reputed private college or a regional/ government college is not a bad option. Most of the times we all land up similar jobs irrespective of the colleges (though exceptions are across both IIT and Private colleges).

All the Best!