The origin of cigar box instruments is in the late nineteenth and early twentieth centuries when around the time of the Civil War there were many people seeking to express themselves through music but could not afford to buy real musical instruments. Later, home built, Cigar box instruments where especially important in the rise of the Blues as they provided an accessable means to create great music. Instruments as simple as a box, broom handle and string were enough for some people to find inspiration and create great music by simple means.
Some of the great pioneers of rock n roll started with a simple cigar box instrument, pioneers of rock n’ roll such as Carl Perkins, blues greats like Lightin’ Hopkins, B.B. King, Blind Willie Johnson and Charlie Christian all started with a Cigar Box Guitar. The great B.B. King did not start with a Gibson but a homemade cigar box guitar that his father made for him in his shed.
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The compensation is to allow for tension added when the string is squeezed down. That gets you the basic location. For those who want to get particular about exact intonation, you shape the top of the saddle, if necessary.
To test an instrument that is strung to pitch, you play a harmonic at the 12th fret by lightly touching there and plucking the string, then you press down on the 12th fret and pluck. The harmonic and the fretted note should be the same - if you mostly play chords down near the nut, then "close" is close enough.
love the 'face' on the instrument
For those following in these footsteps, i would encourage going the "bolted only" route for the neck. Years down the road there may be a reason to take it apart for repair. If gluing, go with hide glue, which can be steamed off. Even high-end guitars like Taylors use a dry, bolted neck/body joint.
I really like your choice of tuners too.