Check behind dust boots on both master and slave cylinder, if fluid is leaking, replace and only use OEM parts. Push clutch pedal to the floor, allow the pedal to return to the top, then grab the pedal and pull up, if the pedal moves up at all, the pedal assembly must be removed and rebuilt. This is assuming a properly functioning pressure plate with a disk that isnt warped and that your flywheel step height is correct, it is .612" for a stock set up, and usually .610" is required for aftermarket, performance clutches.

Ok that might be it, cant see any leakage. Is there a guide or instructions to rebuilding the pedal assembly?

You need to properly adjust your clutch push rod.

Ok, how do I do that? I have the Haynes manual but cant find anything about push rod adjustment. Many thanks btw.

Im getting ready to install the slave cyl and BLEED the clutch on our project. I did not know anything was adjustable on a hydraulic setup, except the pedal stop, any procedures or info will probably help me out too!

http://www.teamrip.com/clutch_pedal_adjustment_info.html

like kchazzz said, the 1g pedal assembly is an engineering design flaw. some people are ok as long as they leave a stock clutch in, some people get worn assemblies with a stock clutch. some people have had the hole where the rod attaches to wear out, some people have had the arm-to-pedal-rod keyhole wear out.

you won't know till you get in the car, upside down, scrape all the skin off your knuckles, curse everything in life, and get the pedal assembly out.