Well then, you've done your homework and in fact, a clean reinstall isn't all that difficult. I hope your reinstall disks include the drivers? If not, I'm sure you're aware you can download them from Dell.
Just FYI Fry's has a deal on the
Norton Bundle It includes Norton Utilities, (worthless), Norton Internet Security 2011, (very good), and Norton Ghost 15, all free after two rebates. One is a competitive upgrade rebate which will require proof of ownership of any previously owned Norton product or any competitor's antivirus or backup/imaging product.
Well, I just went and checked Fry's Store Locator and see that they don't have a store near you so my suggestion above isn't going to be very helpful. You might keep an eye on that link though, just in case they get some back in stock for shipping while they're still on sale.
Unfortunately it looks like it's unavailable for shipping right now, so you would have to find a store somewhere nearby to make it worthwhile.
There is one other possibility. Have you considered a virtual machine? Microsoft Virtual PC 2007 is available for free
here
If your machine has a decent sized hard drive and sufficient hardware, (only 1 yr old it should), it shouldn't take you more than an hour or two to figure it out and have it running. This way, you could back it up with just a copy and paste and never mess with your main os. With a virtual machine you can have internet access, share files and folders with your main os and essentially do all the same things you would do with your main os.
I set one up on a friends 6 yr old Dell Dimension 3000 with a P4 last year so he could run DOS and some DOS software from twenty years ago, worked fine.
Just a possible alternative for you. But your plan will work fine!
Good Luck!
Larry