AvoK95 wrotei5 3570
AsRock H61 motherboard
8GB HyperX 1600MHz
Thermaltake V4
Thermaltake Smart SE 630W
Sapphire R9 270X
1TB HDD
DVDRW
LG 21.5" IPS 1080P Screen
It comes $80 above budget, but in return you'll be getting a nice gaming system capable of gaming any game at 1080P no problem.
What you could do is, ditch the screen for now, and get an R9 280 or 280X and hook it up to your TV for now.
We shouldn't go lower end i5, because you'll have more bottleneck in the future, RAM prices will rise soon, 500GB vs 1TB = 10$ difference, there's no cheaper case, no way in hell should you go cheap on the PSU, DVDRW is your choice to save 25$.
Going with an R9 280 over a 270 will give a nice performance boost.
The V4 comes with a PSU, apparently. So he can use the money of the 630W on the better GPU.