Shop Setup

Drill Bit Storage and Organization for Shop Efficiency

May 27, 2026  —  MachinistPost

Most shops store drill bits badly. A coffee can full of loose bits. A junk drawer with half a dozen loose drills rolling around with the tape measures and Allen keys. A plastic organizer from the hardware store with half the slots broken. It's not a tooling problem — it's a decision problem. Nobody sat down and designed a storage system; bits just accumulated wherever they landed.

Poor storage costs real money. Bits get damaged when they knock against each other in drawers. You buy duplicates of bits you already have because you can't find them. You pull a bit that turns out to be dull and don't realize it until you're into the cut. A twenty-minute organization session fixes all of that.

The Core Problem: Tips Touching

Drill bits are most vulnerable at the cutting edges. The lips and chisel edge are ground to sharp angles and they're fragile — not in the "snap if you look at them" sense, but in the "a solid bump against a harder object will chip or roll the edge" sense. When bits rattle loose in a can or drawer, they're hitting each other tip-to-tip constantly. By the time you find the bit you need, its edge has already been degraded by storage contact that never should have happened.

Every storage system that works solves this problem: it isolates bits so tips don't contact anything hard.

Storage Options That Work

Index Cases

A drill index — an aluminum or steel case with labeled numbered or fractional holes for each bit size — is the classic solution for good reason. Each bit slots into a dedicated hole, tip down, in order by size. Finding the size you need is instant; gaps in the index tell you immediately what's missing or in use. A good machinist's drill index runs about $40–$80 and lasts forever if you put the bits back where they belong.

The limitation is that index cases work best for a single complete set. If you have multiples of some sizes, or odd sizes outside the standard fractional or number series, the index doesn't accommodate them well.

Foam Inserts in Tool Drawers

Cut custom foam inserts for your tool drawer and punch holes for each bit. This is the shop-custom version of an index case and it integrates with your existing tool storage. The downside is setup time and the fact that foam eventually compresses and doesn't hold bits securely. Works well for frequently-used sizes in a dedicated tooling drawer.

Wall-Mounted Pegboard with Holders

For production environments where the same sizes are pulled repeatedly, wall mounting near the drill press with labeled individual holders puts the tooling in front of you at the point of use. Each size has a dedicated clip or hole. No searching, no cases to open. The trade-off is it only makes sense for the sizes you actually use regularly — not an all-encompassing storage solution.

Small Parts Organizer Bins

Multi-compartment plastic organizers (Akro-Mils, Stanley, etc.) work well for grouping bits by size range. One compartment for 1/8" and under, one for 1/8"–1/4", one for 1/4"–1/2", and so on. Bits are tip-up in the bins with a piece of foam or folded shop rag at the bottom to protect the tips. Not as fast to navigate as an index but far better than loose storage, and easily handles odd sizes and duplicates.

Separating Sharp From Dull

This is the one practice that makes the biggest difference in shop productivity: maintain a physical separation between sharp bits and dull bits. Never mix them.

One simple system: color your dull bits. A small dot of red paint marker on the shank of a bit that needs resharpening takes two seconds. Those bits go in a separate "dull" bin or tray. When you need a bit, you pull from the sharp storage. When you have enough dull bits for a resharpening batch, you send them out.

Alternatively, maintain two identical index cases — one labeled "sharp," one labeled "needs regrind." When a bit dulls, it moves from the sharp case to the dull case. The sharp case is always ready for production; the dull case accumulates until it's worth sending in for a resharpening run.

Organizing by Use Frequency

Your most-used sizes shouldn't require digging through a full index. Put the bits you use daily in the closest, most accessible location — within arm's reach of the drill press, top drawer of the tool chest, first position in the rack. Specialty sizes and bit categories you use occasionally can go in secondary storage further from the machine.

Common "daily" sizes in most shops: 1/8", 3/16", 1/4", 5/16", 3/8", 7/16", 1/2" in fractional; #7, #29, #21, #10, #3 in numbered series (standard tap drill sizes for common thread pitches). Everything else is occasional-use storage.

What to Do About Tap Drills Specifically

Tap drill confusion is a common time-waster. You know the thread size, you have to look up the tap drill, then go find it. One solution: label a small set of dedicated tap drill holders with the associated thread size. A short piece of 3/4" PVC pipe capped on one end, labeled "1/4-20 TAP DRILL — #7," hanging next to the tap rack. When you grab the 1/4-20 tap, the matching drill is right there. No chart lookup, no hunting.


Organized tooling is faster tooling. A shop where every drill bit has a place and dull bits are immediately separated from sharp ones runs faster, wastes less money on duplicates, and produces better work because the right tool is always ready. It's a two-hour project to set up and a two-second habit to maintain.

Send Your Dull Bits In

Once you have a system for separating sharp from dull, act on the dull pile before it grows. MachinistPost resharpens HSS twist drills by mail — affordable, professional regrind, fast turnaround. Clean your stash and get them back in rotation.

Get a Quote →