I've experimented with various methods for storing my many router bits, and I've finally settled on the best system for me. I simply took a mechanic's toolbox, with drawers of sufficient height to house my largest bits, and mounted it on a retractable shelf under my workbench. As shown in the drawing, the bits are stored upright with their shanks inserted into 1/4-in. or 1/2-in. dia. holes drilled into 2x stock.
F. Ross Campbell, Arlington, VA