Our student group has been in the Rackspace Startup Program, where it receives a similar discount every month. Looking at the billing records, I want to point out that the way Rackspace runs the accounting is a bit oddly - they charge my credit card the full amount, then issue a refund a few days later. On my statement, it surprised me to see a charge- keep this in mind, especially if you intend to stay under $50/month and do not anticipate charges.