Sill plate insulating in basement

I am located just south of Hamilton, ON. I am inusulating my basement with rigid foamboard. My sill plate extends 3/4" past the cement wall. Do I need to go all around the sill plate or just butt up to it leaving the face open? I have foam board coming out to the top edge but need to apply board to walls now but not sure about the sill plate sticking out. My thought was to but up to it and seal around the edges? Does this make sense?

Thank you