It somewhat depends on the thickness. If it spreads very thinly, like AS5 or the "white" gunk you see with a lot of heatsinks it should be fine. The really really thick stuff you typically get with OEM Pentium 4 heatsinks you gotta go a bit larger. You could smear it a bit if you want. If you don't mind wasting an ever so slight amount you could take an old credit card or something that won't scratch and smear it evenly across the IHS. In many cases I've found the HSF does it for you anyway, but I'm usually a bit more cautious than that and spread it myself. Keep it thin, thin, thin, enough to obscure the IHS like you were painting it. Just a film of grease, don't slather it on like butter. Start with that grain of rice and see if it gets you far enough, you'll be surprised how much you can get out of it.