Hitch height and tongue weight question

I'm getting ready to adjust my Eaz-Lift hitch head height for my new trailer; It's an Outdoors RV Back Country 18F, which has a listed tongue weight of 500lbs. But the 50 gallon fresh water tank is up front under the jackknife sofa, plus 2 batteries and 2 full propane tanks could probably push the weight upwards of 1000 lbs (when the water tank is full). I've read that the ball height should be 1/8" taller than the level trailer coupler for every 100 lbs of tongue weight.

My thought is to start the ball height at about 1-1/4" higher than the trailer coupler to reflect the weight of water, etc. Sound logical? Or should it be less than that, and add more tilt to the hitch head to allow for leveling the heavier loads? I do have 1000 lb bars.

Thanks for the thoughts. Might take some experimenting, but hoping to find the setup that gives me some flexibility in tongue weights.