Some rearends set pinion depth with a shim behind the rear pinion bearing cup in the case, instead of on the pinion shaft (Picture #7). The overhaul kit from Randy's Ring and Pinion came with shims for either place. I prefer to shim in the case. That way I don't take a chance of damaging the bearing by removing and installing it over and over to get pinion depth right. Either place has the same effect of moving the pinion closer or farther from the ring gear.
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