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Like all things around bike set up, there seems to be a great deal out there about getting your saddle height set up correctly. Apparently a saddle that's 'too low' can leave you with 12% less pedaling efficiency etc. etc. The thing is, no one seems to have a definitive way of getting your saddle height 'right' (plenty of rules of thumb, formulae etc.).
For a non-competitive cyclist who's just after comfortable, fun riding is 'it feels right' good enough (oddly on with my new frame I seem to like the saddle slightly lower than on the old, but the reach is slightly shorter and the bars a little lower), or do I need to faff?
just go and ride! Stop worrying. If it feels right it is right. You'll soon know if it's too low or too high. Most of the time saddle height compromised to give more 'chuckability'...hence the reason that gravity dropper seatposts are so popular these days...
The rule of thumb is that for most efficient pedalling your knee should be not quite locked with the pedal at it's lowest point.
The only reason to compromise this is for improved control and confidence, particularly important for newcomers to off road riding, and on steep, technical downhills.
107% of inside leg measurement
I dont do this but checked my bike and they were all set up pretty much on the button.
If it feels right it is right. there is no definitive answer except what suits you
If you're worried about pedalling efficiency, just keep raising it until it feels wrong (your hips will start to rock as you pedal), and then go back just enough to stop it feeling wrong.
But on a mountain bike you're out of the saddle a lot and moving around a lot, so it's not exactly unheard of to ride with it a little lower than you should with a road bike.
Straight leg from seated with heel on the pedal is a good start, dropper seatpost (GD FTW!) is better.
Uphill I'm at full extension (heel on pedal seatpost height), lumpy uphill to flat I'm 1" lower and descending/fun stuff I'm 4" down.
If I had to keep it set, It would probably be around the 1" lower than full. But then again what you ride makes a pretty big difference!
You'll feel if it's not right though, I think it's good to get the info and then go on feeling and combine the 2.
A tad low & slightly tilted back, so it's high enough for decent peddling, but I never have to drop it on even the steepest trails.
Leg straight with the heel on the pedal at the lowest point works well for me too followed by a bit of tweaking but that brings me up a couple of cms short against one of those online formulae (109% of inseam - crank length, centre of BB to top of saddle). I just wondered really. Comfort is where it's at for me.