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I always build my own. It's not usually cheaper than a $299 deal from Dell, but I get what I want (and it's still not terribly expensive).
That's the way I've always done it as well. My first roommate in college was a computer science major and got me started on all this computer stuff.
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We use our computer for selling or buying on ebay, poking around on the internet, basic communications, etc. Should I buy a "package deal", or keep my monitor, keyboard and replace only the modem?
For the money you can't beat the price of a Dell if you just want a newer computer. Like every computer they have their "issues", but are great about tech support from what I here.
Things to speed up your current computer in the mean time
1. Defrag your hard drive (This can really help a lot)
2. Clean out your C drive. If your disk is getting full this can really slow you down.