I7-870 Configuration Help

Hi everyone. I have decided to instead of purchasing a retail pc, build one myself. I normally use my computer for Microsoft Word, Internet browsing, and movies. I don't use graphical intense applications as much as some people, but I want to make sure that whenever I do, it looks great. Also concerned about video encoding. I understand that AMD cpus are good for that kind of stuff but in other areas it's a bit shy of what I'd like.

Here is what I've chosen so far:

Intel Core i7-870 2.93 ghz
Asus Intel P55 LGA 1156 P7P55D-E
Sapphire HD5770 1G DDR5/1024M/128bit/850/4800 PCI-E
Cooler Master CM690 II
WD Caviar Green 640GB SATA 3Gb/s 64M WD6400AARS
OCZ MXS 500 watt OCZ500MXSP

My main concern so far is the RAM compatibility. On Intel's website it says that the i7-870 supports 1333mhz and 1066mhz ones but the motherboard can support 1600 mhz. I need some help choosing the RAM. My budget is around 1500 US dollars

I would appreciate it if any of you could comment on my current selections.
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