Yesterday I bought some generic Logitech h250 headset, just because my older headset got broken. I paid around 21€ for them.

http://www.logitech.com/en-sg/product/stereo-headset-h250

I'm completely happy with h250, but then I wasn't expecting much from them. I was considering also h150, but for some reason it was a bit more expensive on that store, than h250. I presume h250 is better than h150, right?

For some reason my headsets seem to always break for that volume control thingie which is on the cord. After awhile it starts acting funny, ie. becomes quite inaccurate, losing right or left channel if you merely touch the volume wheel, and then comes back if you touch it again, etc. Some analog potentiometer is apparently getting broken after awhile? Two of my earlier (cheapo) headsets died the same way, that potentiometer got broken.

I don't know if an USB headset would be a better option nowadays, but frankly I personally reserve the USB ports for something else, and an analog headset can be used with smartphones and tablets as well, which might prove harder with USB headsets.

Also, as much as I love my laptop USB speakers (Logitech V20), the only thing I don't like that the whole USB audio volume seems quite "coarse", ie. if you hit the volume up button only a few times, the volume gets much louder. Maybe I need to adjust the Windows mixer settings or something...

No other recommendations?

I have a Logitech G35, which is probably out of your pricerange and while I'm not dissatisfied with it I can't really recommend it either. For such an expensive headset it is lacking in soundquality (might be a matter of taste, I know) and the surround hasn't convinced me either. On top of that, after wearing that headset for half an hour makes my ears overheat.
Altough I don't have personal experience with them, you might want to take a look at Creative's range of headsets.
I have a desktop speaker set from them which produce very good sound and they weren't that expensive either.

I had the cheapo Creative Fatal1ty ones (or however the hell you spell it) and they lasted years of abuse (in the end, the cord broke when I moved my while computer desk over it). They're more than half decent, despite the branding crap! Good mic, friends always commented on it. Normal crappy sound that you get with gaming headsets, but very powerful. Keep on your ears all day, no hurt. Saying that, lots of people reckon the batch out now is crap compared to a few years ago.

Or the Plantronics 380, which are ugly as sin, but slightly better than those Fatal1ty's (you could almost listen to music on them). But they do hurt some folks ears.

Those are the only two budget gaming ones worth looking at, in my opinion. If you go cheaper, you could get a cheap pair of JVC flats and a clip on mic. Get a way better sound out of them (despite being on ear, rather than over) and very comfortable - if you don't mind having to clip a mic on.

Have to say, I've gone down the seperate route myself with on-ears. More comfortable, less sweaty ears and more bang for buck (don't have to unplug them to listen to music).

I use a Razer Carcharias. Mainly because it is so damn comfortable. The build quality is decent but you will probably need a new one every couple years. I am on my second one. It's so comfortable though I don't mind paying every couple years.

There are a few different models of those Creative Fatal1ty ones. HS-600, HS-800 and HS-1000. On Amazon, the 800s seem to be the best scored.

I've also seen the Plantronics 380 and 780 which get high scores, but also some mentions of poor build quality leading to them breaking. Just searched for those. They are a little out of my price range. If I were to be using them a lot then maybe I'd spend a little more, but at present it would be 2 or 3 times a week for a couple hours at a time.

Something else I should probably have mentioned. I wear glasses, so that needs to be taken into consideration from the comfort point of view.

Now this topic is interesting, I've been looking for a headset for a while now since my PS3 bluetooth headset has gotten all crackly. Not sure if that is a driver issue or a hardware issue, but that is neither here nor there.
The Creative Tactics3D Alpha looked kind of interesting and in my price range and also featured a USB connection which is something I'd like.