Thanks Gary. I did read the manual and it explains clutch adjustment on page 51. Have you ever adjusted the clutch using the nut? I want to try this first before going any further. I did grind into gear once, and after that it appears that it's working because I could change gears without any grinding. I know, doesn't make sense. Maybe I was just lucky that it didn't grind. I'm not mechanically inclined to replace repair the clutch. I'm this far into getting this machine running properly and hate to turn back now. If adjustment doesn't work, I'll have to take it to the dealer and looking at major expense.