I also have never seen anything written about the positioning of the seal. However, prudence dictates that you do not want the bearing rubbing on the seal. I would think the seal should install so that the top is just below the ring groove in the hub. Most people I know in the hobby would agree. In fact a friend made up a tool out of aluminum that looks like a large disk with a step in it. You use it by placing it over the seal and using a hammer tap the seal into place with it. When the step hits the top of the hub the seal is installed right below the groove.