diff --git a/README.md b/README.md
index a4ac126..8c23e80 100644
--- a/README.md
+++ b/README.md
@@ -25,6 +25,9 @@ modes in which multiple algorithms are tried per chunk to determine the best
 one for the given chunk. Finally it supports 14 compression levels to allow
 for ultra compression modes in some algorithms.
 
+NOTE: This utility is Not an archiver. It compresses only single files or
+      datastreams. To archive use something else like tar, cpio or pax.
+
 Usage
 =====
 
diff --git a/main.c b/main.c
index b5a5e5f..da8101a 100644
--- a/main.c
+++ b/main.c
@@ -501,7 +501,7 @@ start_decompress(const char *filename, const char *to_filename)
 	chunksize = ntohll(chunksize);
 	level = ntohl(level);
 
-	if (version != VERSION) {
+	if (version < VERSION-1) {
 		fprintf(stderr, "Unsupported version: %d\n", version);
 		err = 1;
 		goto uncomp_done;
diff --git a/pcompress.h b/pcompress.h
index ef16d35..899f4f4 100644
--- a/pcompress.h
+++ b/pcompress.h
@@ -37,7 +37,7 @@ extern "C" {
 #define	CHDR_SZ		1
 #define	ALGO_SZ		8
 #define	MIN_CHUNK	2048
-#define	VERSION		2
+#define	VERSION		3
 #define	FLAG_DEDUP	1
 #define	UTILITY_VERSION	0.7