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That is a very good deal on the Powermatic - I paid full price but it'll be worth every penny in the long run. Easiest tool to use in my shop.You may know about this old trick bit if not here it is.
When you insert the hollow chisel put a dime between the stop and the top of the hollow chisel. Insert your drill bit and let it just touch the bottom of the hollow chisel. Tighten up the drill bit. Then loosen the set screw for the hollow chisel and move it up till the top of the chisel mount touches the bottom of the mortiser. This gives you enough clearance for chips to exit the chisel and not heat up and burn your bit.
Occasionally use a very fine diamond stone on the four outside flat edges of the hollow chisel. Just a few strokes. Then they make a cone shaped diamond home to polish the inside cone of the hollow chisel. Hone when ever you feel a lot of resistance.
When cutting your mortise, start with the two outside edges to get a nice clean mortise. Then start on one side and drill only about half the distance of the bit width and progress to the other end. So if you have a 1/2" mortise bit then step over about a 1/4" inch each stroke. This takes a little more time but you get a better cut and a straighter mortise.
When you insert a new chisel in the mortiser, leave the drill bit out. Use a ruler to square the bit side up with the fence. Since the fence is fixed you should adjust the hollow chisel. Use the dime trick from above. After your get it square and insert the drill bit, remove the dime and recheck the squareness to the fence and tighten the hollow chisel.
With my advise you will be come a real chiseler, and can be called a dastardly chiseler.
The Powermatic comes with two integrated spacers for both large and small chisel bit - you don't need a dime - keep the change!
You can also align the square bit with your stock in place too - it's how I do it on my Powermatic as I also check the plunge along the layout pencil layout along the workpiece. The important thing is to get the fence square overall so the mortice isn't 'stepped' as you go down the cut and creating a 'twist' with the insertion of the tenon.. I've had no trouble getting mine to work and ad a full 1/8" to the depth of the plunge to accommodate the waste that won't come out from the bit end. I make a centered tenon first on my radial arm saw and pare the mortise to fit.
I also pay attention to the tension on both the horizontal rollers and the vertical stop to create a snug but movable fit on the workpiece. It can be done with practice and is part of getting clean accurate cuts. Plunging into solid wood by spacing the cuts before cleaning out the intermittent spaces is also a good idea. It's all in the instructions.