I need help putting together a budget system

Room makes a huge difference, well size does matter. I now change the speakers to Paradigm 20 Actives (no longer made, but come for sale fairly regularly), since you now don't need an amp, I would suggest getting a VPI Scout turntable, cartridge of your choice. That's still a nice system. Also, if it's an office you don't need a music server, just run your iTunes from your computer into the DAC. So buy an isolation stand for you turntable now.

I get the joy of the active speakers approach but unless I am missing my engineering, multiple sources (say DAC and phono preamp) are going to be pretty unwieldy.

A lot of nice integrateds out there with very respectable MM/MC sections which would give you the option of adding your TT when you were ready.

Also there are a whole lot more choices in passive speakers then active.

BTW since you mentioned you enjoyed designery looking gear, you might look for a used pair of the Gallo 3.1's. Cool looking, easy to drive and they should give you plenty of the detail and intimacy you crave.

I don't understand why active speakers are a problem with mulitple sources? You are just forgoing the amps, the signal still comes from a preamp that switches the sources, and manages volume.

I love the Gallos, I have had them before, it seems to me they would be a bit much for that space.

Hi MacDad - that's exactly what I was missing - we have a newb here asking for specifics... the pre is a critical piece and will need a significant piece of the proposed budget.

alright I guess I really dont know what I am doing. I dont even know what an active speaker is. I will do some research.

Mike