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Thoughts on measured nut action

I measure height of first fret. Add .025" and tweak down from there. String tension (tight/floppy) will have a lot of bearing on final height. Tight = lower action, floppy = higher action. When you think you can make a couple of more light passes with the file, STOP. Make sure all strings are tuned to pitch during this process.
For rough cutting the slots I tape a peice of material to the fretboard at the nut that is 025" or so thicker than the height of the first fret and file down to it, then tweak as necessary. It's easier if the strings are not installed or or loosened and held out of the way.
Saves a bunch of string in and out of the slot/tuning to pitch to check the initial cut.
 
3rd way to do it(!).

I was taught to hold down the string between 2nd & 3rd frets.

The distance between the 1st fret & the string should be no more than the thickness of a cigarette paper - but it should be there. If you tap the string you should be able to hear it rap on the fret.

It's dead easy to overcut a fret slot, so be careful.

Also the slot should slant slightly down toward the pegheads in order to make the 'witness point' (why is it called that?) at the bridge side of the nut where it ought to be.
 
3rd way to do it(!).

I was taught to hold down the string between 2nd & 3rd frets.

...If you tap the string you should be able to hear it rap on the fret.

...

Also the slot should slant slightly down toward the pegheads in order to make the 'witness point' (why is it called that?) at the bridge side of the nut where it ought to be.

Exactly!