Installing Crystal Retaining Ring on GMT 16710

[Dahccpa]

Hi everyone. I am reinstalling the crystal retaining ring on my GMT 16710 and could use some expertise.

I have replaced the rubber gasket that sits under the crystal retaining ring and properly pressed the retaining ring back into place.

Wondering if anyone can confirm if the retaining ring should sit flush against the case, or should the rubber gasket be sitting between the case and the retaining ring?

Since there is a channel inside the lip of the retaining ring for the gasket to sit, it seems like it is impossible for the rubber gasket to end up between the retaining ring and the case when pressed. So currently my crystal retaining ring is sitting completely flush against the case with no sign of the rubber gasket at all when fully pressed.

Just wanted to see if anyone can confirm this is the correct installation. Thanks in advance!!