As you specified that you will be getting 200k -300k . Assuming such high traffic makes your website having big database .

Minimum of below configuration you might need .

Xeon Server
2048MB Dedicated RAM ( If your website takes high Memory resource then 4096MB is recommended )
4096 MB Burstable RAM or vSwap ( 6144 MB incase of 4096MB Dedicated RAM )
HDD Space as per your requirement

Specify whether you can manage the VPS . Or you want the provider to manage it for you .

If you are managing on your own . Then the budget you specified is ok . If not then it will increase .