Hi Chris,
What I normally do is face and turn the part, then part-off over length by .5mm or so.
Face the parted end to a nice finish remove and measure the length, noting down the amount still to remove.
Re-chuck with either end (depending on design).
With the compound set parallel to the ways, the compound dial zeroed with the handle turning clockwise and the part spinning, touch the tool tip onto the end of the work using the saddle, very lightly. I use a magnifying glass to help to see just when it touches.
Then just use the compound dial to advance in steps until the measured amount is removed.
I just did it this way with three bits of steel taking no particular care and they're all within .02mm
It's surprising how accurate you can get just touching on something by eye especially if you do it the same on both.
Cheers,

Steve