My thought is that the farther down on the tote you attach the handle, thus stitching it down more, the stronger the connection. Having said this, I have many bag patterns where the handle is just caught between the lining and outside fabric. The pattern will say to double stitch this section, or do the 1/8" as yours states. I always make them go farther into the bag so I have more stitching area. I think this is one area to err on the side of sturdiness. Assume that the recipient is going to put rocks in it (well maybe fill it with books).