One or the other, as long as it is lubed good, and fits..................did I really just type that and hit send........

 

It appears my engine was rebuilt with a needle bearing so I do not need the bushing. Am I Correct?

Correct, the bearing replaces the bronze bushing.
Take a little grease on your finger and pack the bearing prior to assembly.

 

Needle bearings are generally hard steel rollers and you risk scoring or galling the input shaft of the manual transmission if not kept lubricated. The input shaft of the transmissions are not hardened steel and the reason why the use of bronze bushings are preferred.
AMC/Jeep used bronze bushing with an oil wick or oil soaked sponge inserted into the hollow portion on the end of the crankshaft to keep the bushing lubricated for its intended life span.

 

I just installed a pilot bushing in my CJ 304.

This is it installed. There is a bushing or a pilot bearing, as others mentioned.

My 05 TJ had a bearing, these older CJs had the bushing.

Someone just mentioned, the bearings may be hard on the transmission input shaft.

 

I have been reading about installing the clutch and looking at the clutch kit I bought and they all reference a bronze bushing. However, It appears my engine was rebuilt with a needle bearing so I do not need the bushing. Am I Correct? View attachment 4336071

Yep, you’re right — if your rebuild came with a needle bearing, you don’t need to mess with the bronze pilot bushing. They both serve the same purpose (supporting the input shaft of the transmission), but the needle bearing is just the updated style. Some people prefer the needle bearing for smoother engagement, though others argue the bronze bushing is more durable long term.
When I did mine, I stuck with the needle bearing since that’s what the builder had already put in. Just make sure it spins freely and isn’t worn before buttoning everything back up.