General :: Compiling And Installing Kernels 2.6.33.2

I have downloaded the newest most stable Linux kernel, 2.6.33.2. I thought I would test this using VirtualBox. So I create a dynamically sized hard disk of 4 GB. And installed CentOS 5.3 with just the minimum packages, just the development libs and development tools. I unzipped in the /usr/src directory. I setup the make menuconfig with just the default settings.

After that I ran make and got the following error:
Code:
net/bluetooth/hci_sysfs.o: final close failed: No space left on device
make[2]: *** [net/bluetooth/hci_sysfs.o] Error 1
make[1]: *** [net/bluetooth] Error 2
make: *** [net] Error 2

The amount of space I have left is after it give that error is:
Code:
# df -h
Filesystem Size Used Avail Use% Mounted on
/dev/mapper/VolGroup00-LogVol00
3.3G 3.3G 0 100% /
/dev/hda1 99M 12M 82M 13% /boot
tmpfs 125M 0 125M 0% /dev/shm

So my virtual harddisk size is 4gb and the actual size if 3.5gb. So what happened to the other 500mb? How much size should I give when compiling and installing a Linux kernel? Are there any guidelines to follow when doing this? This is my first time, so just experimenting with this.