1. Bike will turn over no matter the RH kill switch orientation on/ off.
Normal as others have mentioned. As long as it won't start.
2. Headlight and tailight does not come on when the ignition switch is turned on only when i turn the tach and speedo lights
My 750K5 is the same. The rocker switch on the right switch pod turns on the headlight, front marker lights, and instrument illumination all at the same time. Only the taillight comes on with the ignition. This agrees with the 2 wiring diagrams that I have. Others have said that your bike acts wrong here and I disagree.
3. the nuetral light also has went out recently ish didnt really think it was related though
The neutral light should not change how the motorcycle works. It would change how I work, though.
4. not popping fuses everything seems to be wired correctly
Good.
5.i could get it to leak about 10.5 volts touching insulations together.
Not so good. Your response, to replace the wires, is good.
6. all back together with new wires and still does the same stuff.
Points 1 through 4 are all normal. 5 is not, but I hope you've corrected it.
7. The start motor safety unit gets warm when the ignition key is on just sitting there .
The Starter Motor Safety unit includes a couple diodes, a PNP transistor, and an NPN transistor. The diagrams I've seen and the reading I've done all show a light bulb inside that black box (OK, grey box on mine). I believe the diagram is wrong and the light bulb shown as being inside the SMSU is actually the dashboard neutral light. The case on my SMSU is so cracked that I'm replacing it with a single diode. This change will pass all the current for the starter solenoid through the starter switch and either the neutral switch or cluth switch. That's about 3 amps, which should not be any problem at all. Honda changed to a single diode a couple years after my '75. The ONLY reason that I can see for the circuit in the SMSU is to use small currents at the switches and provide a larger current to the starter solenoid. This could be my blind spot, but a single diode will work. . You don't need to push any buttons,
YOU'VE DESCRIBED SOME ODDITIES. The insulation is a real problem. The neutral light may be a bulb or a switch, but easy enough to find and correct.
Is there another "problem" that I didn't find in your description? Is there a problem with the turn signals? Note that the K5 has single-filament rear signals -- they're on only to indicate turns. It has dual-filament front bulbs -- they are "running" lights when the turn signals are off but when you turn on a turn signal, the other filament turns off so the flash is more visible.