The setup varies based on the turntable. The easiest is a Rega--basically remove from a box and fling (well not LITERALLY) onto a level surface. (There are a few more steps--but it's easy that anyone can do it.) At the other end of the spectrum, there are turntables with spring suspensions. The springs have to be adjusted to level the platter, and often one needs to do some tuning. Thus, the setup will vary based on what you end up with. Every common turntable has information on the Internet (a quick search of Vinyl Asylum at www.audioasylum.com is a good place to start.)
Cartridge mounting and alignment is the bigger issue--there are instructions all over, including on Vinyl Asylum. Vinyl Engine (www.vinylengine.com) has protractors for the alignment available for download.
Cleaning is another possible nightmare. The Real Audiophile--the one using a $5,000 turntable as "the daily listening turntable" will insist on using a combination of products that costs more than your total turntable budget. Basically, the "preferred" approach involves a fluid that's applied to the record, and then vacuumed off with a record cleaning machine (most common: VPI and Nitty Gritty.) You can find plans to build your own record cleaning machine using a standard vacuum cleaner or a Shop Vac.
Some clean using various manual systems. Disc Doctor has its fans (discdoc.com--note no "www"). Some use other methods including dish soap and running water.
Others content themselves with just a simple carbon fiber brush. The brush alone might be all you need IF you have records that are in decent, fairly well-maintained condition. If you start collecting records that aren't in such great condition, then you realistically should move up to some other system.
The most important cleaning is the stylus. There are various schemes--many of which cost money. A small bottle of liquid and brush for $20 plus. A much cheaper system is using Mr. Clean Magic Erasers. This is hot--many posts on Vinyl Asylum and here. I use these myself.
As for turntables, my vote is for finding something older that's in good condition. Turntables can turn up in thrift shops and garage sales--but you have to be careful to make sure you're buying something decent. Used turntables often have a cartridge included. It's probably best to replace the stylus. Some would suggest replacing the whole cartridge, but I think it's worth investigating the cartridge model and how much a stylus might run. A top flight cartridge from years and years ago might perform better with a new stylus than a rock bottom entry level cartridge of today. There's an article on Positive Feedback that's worth reading. (http://www.positive-feedback.com/Issue18/turntables.htm).
As for the Grado, I have mixed feelings. Grado cartridges have a good midrange. But they do tend to be a bit fussy with setup. Other cheap cartridges that are worth considering are Ortofon, Audio-Technica, Shure, and Stanton/Pickering.
I think your budget of $250 is far from hopeless. Theoretically, if all went really well, you could end up with spending LESS than $250. What you need to do is find good buys, prepared to do research, etc. The advantage is that you'll probably have a better understanding of the nuts and bolts of analog better than a person who only knows how to whip out a Visa card. This understanding will serve you well in years to come.
