Hi Cathy,
It's hard to predict how much your data will compress; compression ratios are very data-dependent. Text often compresses by 90%, while binary data like images typically doesn't compress at all, or may even have negative compression. I recommend that you try using gsutil cp -z on a small sample of your data and looking at the size of the data after it's been uploaded (using gsutil ls -l).
As for how much space you'll need, it depends on how big the files are, and whether you use gsutil -m do do parallel uploads. gsutil will compress each file before uploading and then remove the temp copy the compressed data after it has been uploaded.
Mike