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The charts call for No. 7 drill bit for a 1/4-20. The shank on a No. 7 measures .199". Call it a sloppy 3/16 (3/16 = .1875"). The 1/8"NPT calls for an "R" letter drill. An 11/32" would work (might be harder to start), as would anything up to a 3/8", depending how deep your fitting can be. I don't have an "R" drill to measure to tell you what is closest to it. I do know on letter and number sized drills there may be no actual fraction equivalent, but you can get real close if you have a bit index in 64th's. For the popular sizes like 1/4 - 20 I buy a real good bit that is exactly the one called for, and save it just for tapping holes of that size (keep it right with the tap). The size they call for does work the best. They are usually available at industrial supply houses. By the way, don't use a 29/64" for the 1/4". 29/64" is a 64th over 7/16"! I'm sure that was a typo, or a cranial cramp that made Mr. Suds say that.
As I said,I didn't have a chart handy.But those sizes are correct,
dependent on straight or taper thread.BTW, correct size for a 1/4-20 is #7(.201).The diff. between an "R" and 11/32 is only a few thousandths of an inch.Won't make a difference and may be easier to thread.Check this site and print it.I know,he asked NPT. http://www.korit.com/tapndrill.htm