Craig,

Can I ask, were people actually balking at paying your previous rates?

I ask because I'm certainly not seeing negative feedback about my
current rate (which is on par with your new rate) being an issue, but
it does seem very quiet compared to previous years in terms of
requests for quotes, etc.

While its true that the market will generally set the rate it can
bear, I'm sure all of us have a bunch of fixed costs that aren't going
down - last I checked the power company wasn't charging less now, nor
the phone company, my ISP, etc. Additionally, hardware costs have gone
UP due to the downward movement of the AUD.

Going back to the pie theory - If there's a limited amount of work
(pie) to be had, perhaps changing rates isn't really the answer? If
you have a target number of hours you need to bill to break even, by
reducing the rate, you're naturally going to increase the number of
hours you need to bill, and if you can't book those extra hours...
ouch.

Cheers,

Warren

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