Dennis:
Just so we're all Apple'in and Orange'in together here, the correct, stock, oil marker positions are:
Full = 4 7/8" down from the top of the dipstick tube
1 Qt low = 5 5/8" down from the top of the dipstick tube
You can measure these on your dipstick to see if they're the same (not all dipsticks, especially the Tiawanese imports, are created equal, nor are VW's and real 356's the same).
There is no "seal" on the pulley end of a VW crankshaft if you're running a "stock" engine. The design calls for an oil "slinger" which is a washer-like disk on a keyed part of the crankshaft, inboard from the pulley (there is actually a case "wall" between the pulley and the slinger). Oil finding its' way out of the bearing (inboard of the slinger) hits the slinger and is spun off by centrifugal force into a small chamber which drains back to the crankcase. All this works OK if the crankcase is properly vented to relieve excessive internal pressure at high RPM's. If not, the internal pressure forces the oil past the slinger and out past the pulley. Since there is no real "seal" there, the crankshaft often weeps a tiny bit of oil now and then past the pulley, and the engine tins are even designed to give that weeping oil a place to go (onto the ground!). There shouldn't be very much unless the crankcase pressure is up there, then all bets are off.
Too much oil is easy to do........we've all probably done that at one time or another. If you're running an external cooler and filter, there shouldn't be a lot of "drain-back" to the sump. Since it is a closed system (there shouldn't be any air in there) the oil lines shouldn't drain back to the sump when the engine stops. You will, however, have most of a quart pumped and splashed around the inside of the engine, valve covers, etc, which WILL drain back to the sump when stopped. Also, if you have a "typical" full-flow oil cooler installation (with the case drilled for the oil return) it won't drain down when you drain the oil from the sump to change it. The oil stays in the cooler and lines (but MAY drain a bit if the filter is removed, depending on where everything is mounted). So this means that, when you do an oil change, you just put in what the sump holds, NOT including the capacity of the cooler/filter/hoses.
Hope this isn't too confusing..........
Gordon
One of the "Speedstah Guys" from Rhode Island