Jim, an interesting idea to use a "filler" piece of contrasting wood. I will file that away for next time.
Chris, sanding is a combination of things. First and foremost making sure your tools are sharp, not only when you start but also when you finish. Right before the last few passes on a turning it is a good idea to touch up the edge to get it as sharp as possible so as to get a nice clean cut. Also it is a good idea to take very light very slow deliberate cuts near the end so that you are removing a small chip.
Now that you are through cutting the sanding grit you are starting with is important. You should start with paper as coarse as necessary to remove the tool marks you have left. This means if it requires 80 grit to remove any tear out then you start with 80 grit until you have a uniform scratch pattern on your wood. One instructor I had at John C. Campbell said sandpaper should be thought of as another cutting tool. I have a picture somewhere in my file where he is sanding a segmented piece with some 24 grit to remove some chip out on yellow locust. The gouge kept chipping out the wood no matter how sharp. And if the sandpaper is not cutting get a new piece. Always use sandpaper like DaveO was paying for it....:rolf: Then don't skip grits. If you start at 80 go to 100, 120, 150, 180, 220, 240, 280, 320, 360, 400, 500, 600, 800, 1000, 1200 and so on. In reality there are very few pieces that require much above 600. Most woods will not show scratches that are visible to the naked eye when you get to 600 grit.
Another personal favorite of mine is use woven 3M pads where I can as they have a much more random grit pattern than sandpaper. If one grain of the grit on a piece of sandpaper is too large for the grit you are using then you will have a scratch that is larger than the rest of the scratches and it will be visible. It also helps to keep the abrasive moving so that concentric rings are not formed. I also use worn pieces of the woven 3M pads between my finger and the sandpaper. This helps keep my finger cool and also distributes the force evenly over the paper. If your finger gets hot you are pushing too hard and not allowing the grit to cut. If you do this on end grain on some exotic woods you will get end grain cracks that will spoil the appearance of your work.
Sanding speed is important. I don't pay much attention to the rules about speed. I hear people say you should slow down the lathe for sanding. They get good results by doing so. I don't slow down and sand at the same speed as I turned. I think you should try both and see which works best for you.
Perhaps the most important aspect of sanding is to have good light. I have two bright lights that I use while sanding. One is mounted on the headstock and shines directly down on the piece I am turning. The other light is mounted on the end of the bench where my lathe is mounted and provides a raking light that allows me to see scratches where the light passes over them at an angle. If you can't see the scratches very well you will not be able to remove them. Good light is essential.