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The 350D is a very good camera and there is plenty that can be learnt from it, if you are using it as point and shoot then it is time to start using modes such as Aperture Priority and Shutter priority, get familiar with them and experiment. Also play around with manual that way you will start to understand what the camera is doing and what you can achieve. So basically learn to take control of the camera and play.
The 350D has all the key features and if you upgrade your camera you will end up with new features to learn. It is also worth asking yourself what have the new cameras got over the 350D and whether you will really use them, for me live view as an example has only proved slightly useful on a couple of occasions and I could have managed without it
I owned a 350D and got to the point where I naturally out grew it and had a clear understanding of where I wanted to go, in my case it was a 40D which I am happy with, I would love a 5D mark II but know I cannot afford it not with all the lenses I would need to replace to get the best out of it. The 40D does the job just fine and in most cases so would a 350D.
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