Personally I think sagging ¾” when you sit on it is too much. I don’t think you really have but about 2-1/2” of total travel. And make sure to check air pressure in the tires. Tire air pressure can have a big effect on the ride quality. I run between 20 and 25psi in my rear, it is a 250. It seems to ride better that way to me. I have my height set fairly low and probably only have 1 to 1-1/2” of travel, so I have the preload set fairly stiff (I think about 3), no sag when I sit alone, mabe ½” with the girlfriend. With the recommended air in the rear tire and the way mine is setup, I could feel every tiny bump in the road. Much better (my opinion) with a little less air.