Reply by SamuraiSaw

Agreed on not exceeding half the thickness. A lot depends on the span of the shelf, if there is a back to the cabinet, and the fastening mechanism of the shelf. If you will be using screws to hold the shelf in place or if you will be able to attach the back to the shelf a 1/4 dado will be sufficient. All you’re doing is registering the shelf to the side. If the sides are visible you’ll want to go deeper to provide more stability.

-- Friends don't let friends use right tilt contractor saws......