heres my specs
http://pcpartpicker.com/p/1bpip
I have 200 - 250 dollars to mess around with. What should I upgrade?
That list is completely empty.
So, what i get from this is your making a completely new pc for $250?
Definitely get a new PSU; that one you have now is, how you say, a piece of shit. I wouldn't power a Pentium 4 that I stole with that thing! If you want to spend a sizeable amount ona PSU you can reuse in rigs to come, a Lepa G650, Corsoair HX650, Seasonic X 650, Rosewill Capstone 650 M, Corsair AX 650, and Seasonic G 550 are all options (list definitely not extensive).
An SSD or better graphics card aren't necessary, like a new PSU, but well worth it.