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I spent about 3500-4000$ on a rig last year, in september. It's already starting to show signs of falling a little behind.
I bought everything save for one of the harddrives and the DVD-rom.

PS: I live in Norway, that's why the thing was so damn expensive!! If anyone was curious, it's;
Core 2 Duo E6600 2.4 GhZ
Asus P5B P965
Radeon X1950XTX 512MB
Samsung 20" syncmaster 204b
2 x WD caviar 320 GB HD
Thermaltake Aguila tower and a frickin pile of fans!
Hiper 670W with an 80 mm fan for power supply
Corsair Twin2X 6400 DDR2 2GB for ram
No sound card (using the P5B onboard, which is just fine)
No software whatsoever.

PPS: I don't know the how the prices fare in the US, but here in Norway you'll get nearly nothing for 500$ (especially with the dollar being it's weakest in a decade).
My graphics card alone cost around 700$ when I bought it, and it was not the best card available either!