Rate Increases

By what percentage do you increase your prices each year?

I have had one monthly client for 5 years. I’ve only raised my rate on her once, three years ago. Today I told her to expect another increase this year, by about 10%, since it’s been over 3 years since the last one. I underquoted her to begin with and she’s gotten another large dog in the last few years (2 big dogs). I also let her know to expect one each year going forward (around .03% per year) so it won’t seem like so much at once. She seemed totally fine with it, but made the comment that she wishes she got a .03% raise each year.

Now I’m not pocketing all this. I’m insured and provide all my own supplies. I pay all my taxes. The cost of everything around here has increased by way more than .03% a year.

I think this is a very fair rate bump. What do you all think?