Okay, I think I've worked out my program here. Big thanks to @Matt Liebenau for that post that mentoned how you hold these. 
Let's rewind a bit so it's all on one place. The blank I glued up...

I then took it to the band saw and cut it into roughly 1"x1" squares. 25.4 millimeters for those of you not in Liberia, Myanmar or Trumpville.
I can chuck the cubes up on my lathe chuck, backwards, and drill the hole with a 15/64" drill bit. 5.9 millimeters....roughly.

I chose to step down that 64th just to make sure my work piece held for the next step, where I stuffed my Rockler adjustable length pen mandrel up its ... You know...

You'll also see that I placed a jam chuck against the end just to keep my mandrel from coming out while turning. I've had that happen before. A bit unnerving.
Once I get the shape done I can remove the jam chuck and round off the top a bit...

then started sanding. Once sanded up to 400 grit...

I chose to finish this in "Ack's Abrasive Paste" and "Ack's Polishing Wax"...
Ack's Wood Paste LLC
I use it a lot as a finish on turnings and I really like it. So are they perfect? No. But as a trial run it helped me work out a method that I think is pretty solid, provides great results and I'm confident I can easily replicate.
I think the only thing I'm not happy with here is how the bottom didn't flush up like I wanted it to. You can see they lean, because the bottoms aren't square and flat. But in reality, I could put these back in the chuck and work on the bottom a bit more if I really wanted to. Or, I can just stick them on that 5 string fan fret that I built that never got knobs and just call it good.
Again, thanks Matt. And everyone else who offered suggestions on this topic. I've been dancing around it for like 3 years now and finally have my method all worked out.


Let's rewind a bit so it's all on one place. The blank I glued up...

I then took it to the band saw and cut it into roughly 1"x1" squares. 25.4 millimeters for those of you not in Liberia, Myanmar or Trumpville.
I can chuck the cubes up on my lathe chuck, backwards, and drill the hole with a 15/64" drill bit. 5.9 millimeters....roughly.

I chose to step down that 64th just to make sure my work piece held for the next step, where I stuffed my Rockler adjustable length pen mandrel up its ... You know...

You'll also see that I placed a jam chuck against the end just to keep my mandrel from coming out while turning. I've had that happen before. A bit unnerving.
Once I get the shape done I can remove the jam chuck and round off the top a bit...

then started sanding. Once sanded up to 400 grit...

I chose to finish this in "Ack's Abrasive Paste" and "Ack's Polishing Wax"...
Ack's Wood Paste LLC
I use it a lot as a finish on turnings and I really like it. So are they perfect? No. But as a trial run it helped me work out a method that I think is pretty solid, provides great results and I'm confident I can easily replicate.
I think the only thing I'm not happy with here is how the bottom didn't flush up like I wanted it to. You can see they lean, because the bottoms aren't square and flat. But in reality, I could put these back in the chuck and work on the bottom a bit more if I really wanted to. Or, I can just stick them on that 5 string fan fret that I built that never got knobs and just call it good.
Again, thanks Matt. And everyone else who offered suggestions on this topic. I've been dancing around it for like 3 years now and finally have my method all worked out.
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