A plug cutter is provided that has a main body with a shank extending from one end and plurality of cutting blades extending from the other end. The blades have a plurality of facets defining cutting edges for cutting and shaving stock material to form a plug. The blades define an inner bore having a staged taper and a radial relief portion is provided so that a gap is defined between an outer surface of the plug being formed and the radially relieved portion of the inner surface of the blades. The plug cutter has a built-in depth stop to provide plug height repeatability and quick set up.