lammert - 7:50 am on Feb 25, 2010 (gmt 0)
On freelance sites you will always find someone who bids cheaper. The main problem is to determine which freelancer will really do a good job. I use freelancers from those sites and I often pick the freelancers who clearly understood the problem, communicate on an adequate level and which background matches my criteria. Price and reputation are just secondary for me in the decision process.
Therefore you shouldn't just see what others ask, but what you think you need to keep living and expand your business. You will never be able to compete price-wise with someone from a country where $100 is considered a good monthly salary, but you will be able to compete in terms of quality, reliability and communication.