AtomicPope
Hero
What we ended up doing was added "effective levels" for magic items. Each powerful magic item attuned added an effective level. So three attuned items is the equivalent as 3 levels higher. That worked a bit but even with that we would have to assume that the counters were still one lower in threat level, like a medium encounter was often easy in game play. After those adjustments the game got back to what it was at lower levels.If you find that your group is routinely breezing through hard encounters, move the encounter difficult down a step (so hard becomes medium, medium becomes easy, etc.). Continue to adjust your encounter difficulty until it matches the abilities of your group.
Or something simple like that. I mean, that is essentially what worked for me (at least before I stopped caring about building encounters and figuring XP)
I really believe them when they say that magic items are not only not necessary, but they're not even factored in.