Levels can be summed up as a rate of progress.
To find your level cap or whatever break your game into 3 parts, the beginning, middle and end.
Find out how much attributes and skills you want in total at the end. Then balance out the middle so that everything works fine and then look at the number and challengenumbers of the encounters and their challenge to find the rate of progress. You also want the first few levels to be rewarding at the start so tweak until it works.
Damage and health numbers are completely arbitrary. It is only a question of precision. Games with very small numbers have bigger impact because of the scale of the damage. For example in a game with 34HP, 12 damage is immense but its the same as 3441HP and 1249 Damage the only thing you get is more number precision that doesn't go into rounding problems.
Ultimately it is about relationships between things and scale then anything else.