The bottom line is: if you don't need a dedicated server, you should go with a VPS, especially if you've never worked with either. A good managed VPS can be a good learning experience, and can sometimes have more "safety nets" than a decently priced dedicated server. Such as: a rescule console, free OS reboots and reloads. More importantly, if you outgrow your space quickly, the upgrades on a VPS are a bit easier than a dedicated server.