Abstract: A blade assembly that can be assembled into a microkeratome which is used to cut a cornea. The blade assembly is constructed in a manner that minimizes the tolerance of the cutting depth into the cornea. The blade assembly includes a blade holder that can be pressed onto a blade. The relative position of the blade holder and the blade can be established with a tool assembly that accurately controls the distance between a reference surface of the blade holder and the cutting edge of the blade. This distance defines the cutting depth of the blade. The tool allows a manufacturer to closely control the cutting depth of the blade assembly. The blade holder may have a color or other indicator that provides an indication of the cutting depth of the blade assembly. The blade assembly may be carried in a package that has an opening to allow visual inspection of the blade. The package may have a color or other indicator that provides a visual indication of the blade cutting depth.