Eliot, follow up on 51/64" bushing...
I was mindlessly watching videos and one by John Heisz on his I Build It channel on YouTube popped up called Make Inlays the Easy Way Perfect Fit Ever Time. (I found it on YouTube later)
He used a 1/4" bit and 5/16 and 51/64" bushings. I have done the same thing without the 51/64" bushing and I don't understand his math. You might want to go watch it. If you want to know how I did it I will be glad to explain once I actually remember.