I'm hosting two single-user instances of Mastodon on my multi-purpose Bitfolk VPS.
I haven't noticed any resource issues, despite running
mastodon-{web,sidekiq,streaming} twice.
I have nginx serving a media cache of 1Gi, with the actual media in Google's
S3-equivalent storage, which is steadily growing at about 10Gi/month, which adds an extra
couple of pence
every billing period. Last month's bill was £0.87.
You don't necessarily need cloud-backed storage: new Mastodon has decent tooling to
delete
old media, but I chose to so that I would never have to think too hard about disk space.
I picked Google over AWS as they have a reassuring "delete everything" button
that AWS seems to lack.
Douglas