Since Ive been out of school for summer I have had plenty of time to work on the 500, I did a quick 6 mile test ride in between rain showers and Im really liking the 92 jets. In just 6 miles the spark plugs started turning a lovely tan color as the carbon residue from running rich is being burnt off and the black carbon deposits on top of the pistons is burning off revealing the gold colored powder coating I had done to them.
After the test ride I received a package containing the used 550 ignition and advance mechanism so I used the rest of the rainy day fixing my ignition timing. I tried several combinations of springs on both the 500 advance and 550 advance but the 2/3 timing was still way off so I broke down both advances and rebuilt the 500 mechanism using parts from both. The 500 advance had remnants of old fossilized grease inside of it so after a thorough cleaning I gave everything a thorough greasing. I ended up using an extra shim from the 550 advance along with a shortened spring from the 550 and a shortened spring from the 500.
Here is the 500 advance disassembled
And here is the 550 advance disassembled
A comparison of both advance bases with the 550 on bottom
There were several differences between the 500 and 550 advance mechanisms, the 550 had larger swing arms, larger springs, a larger cam with a flared base, and it used 2 large brass shims per a swing arm. The 550 has a tab on the spindle to help locate the points cam, it also uses 3 small shims per a swing arm 1 on bottom 2 on top, and it is over all a bit smaller than the 550 mechanism.
Both mechanisms worked on the bike but I decided to use the 500 mechanism because i figure it's better to stay with the evil I know verses the evil I don't. There was what looked like a small bit of welding slag on the 500 mechanism base that I think contributed to the timing issues, it can be seen just off the spindle at the 4 o'clock position in the last picture before I filed it off. Now the timing has moved towards the 1/4 points bringing 2/3 just back in to correct timing. I believe if I added a plastic shim to the very base of the mechanism where it contacts the crank like Hondaman describes, it would bring the timing even closer to 1 and 4.