You're doing it right. Doesn't take much, and the part about leaving the first two threads dry is really important.
I'm happy with leaving the bead of sealant in place, but it won't hurt to wipe it off. Typically, I use Loctite 567...since it sets up anaerobically, that external bead that's exposed to air always stays a little gooey.
Flew to Osh in 2017 & 2018!
Tail number N427DK
Donation made for 2018
You haven't seen a tree until you've seen its shadow from the sky
-- Amelia Earhart