The cutout bit includes a first bit segment configured to be free of flutes. The cutout bit also includes a second bit segment extending from the first bit segment at a first location. Moreover, the cutout bit includes a third bit segment extending from the second bit segment and terminating in a tip. In addition, the cutout bit includes a first flute extending along only the second bit segment. The cutout bit also includes a second flute extending along both the second bit segment and the third bit segment. The second flute extends from the first location to the tip.