Don't chase your tail. Starting the vehicle is a pretty simple process that hasn't changed much in 50 years. Check the cables, check the battery and check the starter. If they all check out "good", it's the starter 99 times out of 100. Because the starter can work intermittently or on the bench and fail when it's bolted back into the car. Sometimes just bolting it into the vehicle can flex the housing and cause it to bind.

 

Since you mentioned the started teeth seemed fine with some wear, and spun and engaged perfectly -- do you think it could be your battery? If the proper amperage isn't delivered, why would the ignition button be considered a culprit? I'd try the easiest and probably cheapest method of swapping in a different battery and see if that does the trick.

 

Update: Finally got the car started. I went ahead and just order a new starter to give it a try and i'm glad I did. It's crazy how the old one would spin and engage but I'm assuming it wasn't catching onto the flex plate like its supposed too. Overall, changing out the starter is a pain in the ***. I see why Lexus charges 6 hours of labor on it. I didn't get a chance to snap any pictures throughout the whole process but if ya'll want me to do a write up on replacing the starter, just let me know.

 

If you don't mind doing one, I would like to see what's involved. Thanks