Thanks. I actually rode it unscrewed a couple turns out from flush as you say, but as I rode it felt like it wasn't giving adequate suspension so I unscrewed a couple more turns, so roughly 4 turns out. 7 turns from flush is fully unscrewed so I had about 3 turns holding it in. My butt still hurts just thinking about it, but maybe it was the saddle I put on. I was testing another saddle which was a little harder, but figured suspension might compensate, au contraire.
FWIW, I've read the plastic stabilizer makes the seatpost squeak after a while so maybe I'll just remove if I need more play. Don't see that it really does anything.
Don't take out the white plastic, that squeak happened to me after 1000 miles and was easily fixed by cleaning and lightly greasing (I used poly lube) the screw, housing and plastic itself. It has been perfectly quiet since then.
Also try not to ride it without the spring, you may damage the elastomer.
What kind of a pain do you have? Seatpost suspension prevents spine related pain when going over bumps, if your seatbones are hurting it is most likely saddle related.
Which saddle do you use? Did you adjust it (height, tilt etc) ?