Five percent is 20 to 1. I add a gallon of oil with a fill of 20 gallons or more. With fuel prices so high, I might go a little richer on the oil myself.
Thin multi-grade oil works best. Heavy single grade oil works, but I wouldn't run as high a percentage of it. Single grade oil also smokes more than multi-grade.
DO NOT use gear lube, oil with STP like additives, or hydraulic oil... they tend to gum things up instead of burn. Some guys say not to use ATF, but I have used it for years when I have it. However, I don't put in over a quart to a tank. Some synthetic oils burn fine... others will NOT burn at all. Try just a little synthetic if you have it to see how well it burns before you pour it in by the gallon!
The most practical "filter" I have found is to put the oil in jugs and let it set in a warm place for a week or longer. When you pour it into the tank, leave just a little in the jug. That last little bit has the crud in it!
Some guys give me a hard time for burning used oil in my truck, but I haven't had any problems I can contribute to it and it has saved a lot on fuel!
Steve