I know you're on a budget, but you can do better than that set up. I'm not a big fan of barebones kits, usually cheap parts. Also, I prefer to shop Newegg, they usually have the best prices, fastest shipping, and best customer support.
Here's a list I created on Newegg. The total was $366.96 after shipping (and there's no tax except in a couple states).http://www.newegg.com/Product/Product.aspx...N82E16813130243http://www.newegg.com/Product/Product.aspx...N82E16819103688http://www.newegg.com/Product/Product.aspx...N82E16820148221http://www.newegg.com/Product/Product.aspx...N82E16817153023http://www.newegg.com/Product/Product.aspx...N82E16814127448http://www.newegg.com/Product/Product.aspx...N82E16822148395http://www.newegg.com/Product/Product.aspx...N82E16811154095http://www.newegg.com/Product/Product.aspx...N82E16827106339
Every item in this list is better than what you chose (not to sound like a jerk, sorry if I do
). The processor is newer/faster and is built on the newer 45nm tech unlike the one you chose. Plus, it comes with the heatsink/fan.
I only selected 2gb's of ram, if you can spend more, I would recommend buying two sets for 4gb. It is DDR3 ram, so it is faster than the DDR2 you selected.
The power supply that kit you chose comes with is most likely garbage. They usually die within a couple months or weeks, and sometimes take other components when they go! It's definitely worth it to spend at least a little bit on a more reliable power supply, and for your system, you don't need a big one.
The hard drive is 500gb for $49.99. The one you had was 160gb for $43. It's definitely worth the $7 more, even if you don't plan on using that much storage now.
I just picked a cheapy case with free shipping (if not, shipping can be $15-$20 for them!) You can choose a different one of course though.
The graphics card is better and for about the same price.
Sorry if I came off a bit rude, but I would definitely look over the list I suggested before you buy what you posted. Of course changes can be made.
"I think there is a world market for maybe five computers." - Thomas Watson, Chairman of IBM, 1943