How to set a price is always a good question. It depends on what mill you run (production). What area you are in (local economy/competition). Are you portable or stationary (do they have to haul there logs to you and pick up the lumber). What your experience level is (quality/grade sawing/quarter sawing/ability to see what is in a log).
I have been working with sawmills since 91 and run a LT-70 that I own out rite, and am completely portable. I charge $0.30 bft for all softwoods and $60.00 an hour for all hardwoods and other work. I work steady and do not take breaks, and eat my lunch at the control panel, if my mill breaks down, or needs adjusted I do charge for that time. I keep the extra charges to a minimum, but charge for damaged blades if they are real bad and will not sharpen out. I also charge mileage at $1.00 a mile for the mill and $2.00 a mile for the boom truck. I also give every customer a discount, whether it be no saw charge for damaged saw, or no mileage charge, or knock time off time, or not count a stack of wood for bft. I know I could charge more and get it, and with the fuel cost the way they are I may decide to at some point, but for now I plan to keep my rates where they are.
My insurance agent did not like that I have listed on my web site that I do demonstrations for local schools and donate the wood that I mill to them, so I got another insurance agent. You have stick by your values, and not let others tell you what, when, where, and how to run your business. However, if a customer wants a log cut a certain way then that is how I will cut it.