A bearing alignment tool and method of use is provided for aligning inner and outer races of a roller bearing of the class wherein the inner and outer races of the roller bearing are axially displaceable with respect to each other in order to accommodate thermal growth of a rotating shaft. A bearing replacement procedure includes: (a) affixing the roller bearing to the shaft at its inner race; (b) disposing the shaft in a housing; (c) aligning the inner and outer races of the roller bearing with respect to each other and the housing in a predetermined spatial relationship by affixing an alignment tool to the housing, wherein the alignment tool has (i) an outer aligning surface which engages the outer race of the roller bearing; and (ii) an inner aligning surface which engages the inner race of the roller bearing; (d) removing the alignment tool from the housing; and (e) securing the housing to a fixed position on a support while maintaining the predetermined spatial relationship established in step (c). The method and alignment tool are particularly useful for quickly replacing bearings on an afterdryer of a papermachine where precision alignment and downtime are significant considerations.