The 350 would be a much easier swap since a 292 is physically longer than your 261. Bell housing pattern on the 350 and 292 are identical. You DO NOT have to move the steering box if you use a 1955-56 left side exhaust manifold. I would try the V8 before getting into rear end swapping. Since fuel mileage is not a concern with a work truck one could even use a 400ci small block which has a big torque advantage over a 350 and is identical external size. Both the 400 sb and 292 are gas hogs.
