I am going to build a cheap desktop, sub $500. It will be used only for word processing, web browsing, etc. I was thinking on-board graphics with the possibility of a real card in the future mb, 2G of RAM upgradeable to 4G, no overclocking. As far as an OS goes, probably a 64-bit one; I may wait for windows 7 but that may be more than I want to spend. I don't have any experience with on-board graphics cards so any advice would be appreciated in that regard. I am a little out of the loop as far as hardware goes so any current thoughts would be great!
I've linked the parts that I think will work, not including a monitor, keyboard, mouse which I likely have lying around.