If you try to re-gear that rear end, you should realize that you most likely have a Dana 71 rear axle with 3.07 gears not the Dana 70 you list in your sig..
Have you tried a taller rear tire?

I was running taller tires until recently I went back to stock. I will probably regret that and go back to the taller tires if it goes on a road trip again. No big deal anyway since the Beetle TDI is my travel vehicle now. Can't beat diesel, cruising at 85, and 49 mpg. Can't tow a camper, but I can stay in 5 star hotels for the fuel savings if I wanted.