Step #10 - Place the groupl, paper side up, under the presser foot and line up to stitch on the line between piece # 1 and #2.
At this point we don't need to worry about and accurate 1/4 inch seam. The paper piecing will take care of that for you. Just make sure prior to sewing that there is an over hang of both fabrics of at least a 1/4 inch.