When I tried to mount my switch in hardboard, I drilled a 3/4" hole with a forstner bit. Too small! I've got a 13/16" bit on order, this should do it. Also, there is a small ridge on the side of the switch that needs to go in the hole. I found that a Rotozip Zip Bit (I use them to cut out holes in drywall around electrical boxes) in my Dremel cuts the slot easily, maybe too easily for some. Switch could be a little less stiff, but otherwise I'm pleased. The post for the ground wire is a different color, as long as you're switching the hot side, should work great.
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