I can't see ur picture...I have no idea....but on a 70s-80s chevy,..., you get a coat hanger and you remove the dust cover, then cut the wire, make a "Ell" w.a 1" leg on it take the wire, and hook the Bendix and pull it all the way out to engage-memt (a new word)...The distance between the tip of the gear, on the teeth on the starter's gear and the bottom of the cog (the flat/bottom space between the teeth on the ring.gear) should be about the thickness of the wire (IF, IF, IF, memory is correct) and as mentioned, it should be spring.loaded in the un.meshed position.
Also, the above should be sorta difficult to do....it.shouldnt.be free/loose, but spring.loaded in. If memory is correct....you shouldn't have enough strength to pull it out w.a straight wire, but if you are using a Z, bent wire, it will be no problem
Shims....I sorta doubt that is ur problem. To tighten it up, you shim.the outside, and the inside loosens it up (again, I dont see how that coulda changed).
It should take you about 2 minutes to pull the starter and test it. You can use jumper cables. Hook it up and watch it spin.