You can use realencoder 5.0 (or 5.1) with realserver 5.0. However, you may have a problem finding them. There are both windows and linux versions of each -- and when they were released, they were offered for free. Both are limited by a 5 or 25 connection limit (I can't remember which).
Also, if you are going to run BOTH server and encoder on the same machine, it should be a fairly newer machine. Anything more than about 64kbps encoding AND serving together can seriously slow down anything less than a p-200.
I use realencoder 5.1 to automatically start and record radio programs for me. I use my server to listen to them from work, bedside (my audrey), where ever.