best classic os setup

[Da Pen]

Hello everyone.

My wife has a ti500 with 256mb ram.  Currently running
OS 9.1.

I'd like to update the OS 9.1 and also install an OS
X.? - we need to keep the legacy apps.  What is best
way to go to run the classic apps?  Should I update
the 9.1 to 9.2 and also install OS X.?  I haven't used
OS X.? at all so I don't know anything about it -
which version is best for this machine?

Your thoughts will be very helpful.

Thanks. David

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