I got the idea for the router jig at this web page:
http://gicl.cs.drexel.edu/people/sevy/luthierie/guitarmaking_guide/binding/binding.html
I started with the piece of wood I used when routing the groove for the rosette. It was already drilled through for the router base. I mounted that piece vertically on another piece of wood that I could clamp to the workbench.
Around and in front of the router bit opening is a thin piece of wood that the front or back panel will ride on during routing. Then coming straight out from there is a piece of wood that the guitar side will sit on as the guitar is rotated through the cut.
I adjusted the cut to where it needed to be and secured the side guide as shown above. Then I routed a piece of scrap wood and tested the fit with a piece of the binding.
With much hesitation, I ran the guitar through the jig, front and back. Some spots needed to be hit twice if I did not have the guitar firmly against the jig. Here's the same piece of the binding sitting in the groove I routed in the back of the guitar.
Finally, here's a bigger piece of the binding being held in place. I'll glue it soon. Before that I must complete the routing on the tail end that will have some of the same inlay as the back.