Academyacademy / hermes-101 / cost-stack

Cost + Stack Choice

Station 3 - Cost lock. Time: 20-30 min. You choose the workshop stack and write down the expected monthly cost. Pass when you know this is not fully free and can point to the exact VPS plan.

What this is

This page explains the default Hermes 101 pilot stack.

For the first Hermes 101 pilot, use one official VPS path unless the facilitator says otherwise:

Flow

DigitalOcean -> Singapore SGP1 -> Ubuntu LTS -> Basic Regular Droplet -> 1 vCPU / 2GB RAM / 50GB disk

The model/API provider is separate. The VPS runs Hermes and tools. The AI model runs through an API provider such as OpenRouter or another facilitator-approved provider.

Why it matters

Owning an agent means owning the bill too. A VPS and API model can be cheap for light use, but premium models or forgotten servers can cost much more.

We are choosing the 2GB DigitalOcean plan because it is easier to teach, easier to support, and less likely to freeze than the smaller plans.

1 vCPU is enough for Hermes 101 because Hermes is not running the AI model locally. The heavy thinking happens through the model API. For this workshop, RAM and setup reliability matter more than premium CPU.

What to do

Use this default unless your facilitator says otherwise:

PartWorkshop defaultWhy
ProviderDigitalOceanBeginner-friendly dashboard, predictable billing, good docs
RegionSingapore SGP1Near Malaysia and simple for the room
Plan typeBasicShared CPU is enough for Hermes 101
CPU optionRegularPremium CPU/NVMe is optional, not required
Size1 vCPU, 2GB RAM, 50GB disk, 2TB transferSmooth enough for beginner Hermes without overpaying
Slugs-1vcpu-2gbThis matches the expected DigitalOcean summary
Price$12/month, about RM50/month before API usageVerify live price before class
OSUbuntu 24.04 LTS, or Ubuntu 22.04 LTS if neededStable and common for tutorials
Model accessOpenRouterDefault Hermes 101 path: one key can access multiple models
Budget fallbackDeepSeekUse only if the facilitator chooses the cost-conscious fallback
Advanced/optionalKilo CodeUse only for a cohort that specifically needs it
InterfaceCLI firstFewer moving parts than Telegram on day one
TelegramBonusUseful, but not needed to graduate Hermes 101

Model provider choice

For Hermes 101, use OpenRouter as the official workshop default unless the facilitator says otherwise.

OptionUse whenNotes
OpenRouterDefault workshop pathOne key can access many models. The facilitator will choose the starter model.
DeepSeekBudget fallbackGood low-cost path if current pricing and account setup are suitable.
Kilo CodeAdvanced/optionalUse only if the facilitator specifically chooses it for this cohort.

Do not choose a random premium model during class. Premium models can cost much more. Use the exact starter model given by the facilitator.

Before you create the VPS

Do not click Create Droplet yet unless:

  • You can log into DigitalOcean.
  • Your payment method is accepted.
  • You know this VPS is around $12/month before API usage.
  • You have or can create an SSH key.
  • You have an OpenRouter account, or the facilitator has given you a fallback path.
  • The facilitator has confirmed your plan summary.

Write your estimate:

Reference

VPS provider: DigitalOcean
Region: Singapore SGP1
Plan: Basic Regular, 1 vCPU, 2GB RAM, 50GB disk
VPS monthly cost:
API/model provider:
Expected API budget:
Estimated total monthly cost:

Common mistakes

  • Choosing the 512MB RAM plan because it looks cheapest. It is too tight for Hermes 101.
  • Choosing Premium AMD/Intel because it sounds faster. Regular CPU is enough.
  • Forgetting API/model usage is a separate cost from the VPS.
  • Creating several VPS instances while troubleshooting.
  • Choosing a provider or region the facilitator cannot support in the room.

Next step

Go to Create Your VPS.