Blair,

The question to me seems to be much different than the ones being asked. In other words the bottom line is not the price of the billing but what does it take to make the customer happy, keep them happy and get more work. My bet is that you could make more money in the long run by being careful now about the cost.

I have been independent since Jan 1994. You can see my work history on my site. http://www.ixsys.com One telling thing to me about my work history is two part. Very few contracts and doing all kinds of computer work for most some customers for a very long time.

To me a contract is merely a more formal handshake. There has to be some base understanding between you and the key decision makers on expected cost that has nothing to do with the contract. If the higher billing rate is outside of that value then by you raising your billing you are only asking for heartache somewhere somehow.

Bill at the same rate as before untill you get a clear green light, that is unless you want to jeapordize the customer relationship. Always do what it takes to get the absolutely clear green lite to raise your rates.....contract or no contract, then if your work is good you will keep the customer forever.

Ron