A fastener measurement system includes a number of gauge blocks, each having a tapered bore disposed therein. Each gauge block has a number of conical inserts that fit within the tapered bore. The inserts have a central bore of varying sizes to receive fasteners of different shank diameters. The gauge block includes a beveled surface at the point where the bore meets a top surface of the gauge block. The beveled surface reduces wear and allows the gauge block to be easily calibrated. A computer system receives measurements made by a linear transducer that measures the height of the fastener above the surface of the gauge block a correction factor .delta. is added to the height measured to produce an indication of the true head height of the fastener. The computer system prompts the user to test the head heights of a random sample of fasteners and prints a report of the head heights as well as an indication of whether the sample of fasteners meets engineering specifications.