I like the simplicity of the "just add +1 to three scores" approach, but when I suggest a house-rule, I'd like to be sure that it's truly better that the WotC alternative.
I understand. However, does it really matter?
People keep talking about game balance as if it actually exists. Personally, after seeing the stealth armor fix and the expertise feats, there is no such thing as detailed planned game balance (just general planned game balance).
They are following a set of general guidelines (i.e. don't add more than +1 to hit, don't add more than +1 per tier damage) and then in a later supplement, ignoring those guidelines.
The fact is, they didn't even take out the time to figure out hit point, to hit, and damage math for every single level for both PCs and monsters for all defenses.
That's pretty darn lame. It takes all of 20 minutes to put that into an Excel spreadsheet. I've lost all respect for their balance claims pre-release.
The sole exception to this is Light Armor. Light Armor appeared to just work out of the box for all levels. Heavy armor and the other 3 defenses do not work, nor does to hit, nor do monster hit points/damages.
Btw, the best solution I have heard is to not do anything to the PCs. Lower the level of the monsters per tier above heroic and call it a day.
So, if you want a same level encounter at level 5, use level 5 monsters. At level 15, use level 14 monsters. At level 25, use level 23 monsters. This automatically decreases the monsters' to hits and defenses, and reduces the number of monster hit points without changing a single rule.
But, only do this by 2 levels by Epic. The reason is that the monsters hit AC by 2 less as well as hitting the other defenses by 2 less and AC is not really a problem area. If lowering the monsters' levels feels uncomfortable challenge-wise based on the DM guidelines, you could always throw in an extra monster per tier above heroic as well (so 5 n at heroic, 6 n-1 at paragon, and 7 n-2 at epic) to get a similar level of challenge, but having each monster hit slightly less often and gettting hit slightly more often.
The only reason I am changing the PCs instead of changing the monster levels is because I do want the high level PCs to fight Orcus and Demogorgon and a host of other deity level foes and I think that is extremely difficult (i.e. nearly impossible) with the core rules shy of some gimmic (like a Wizard auto-lock which my group does not try for).
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