Confused on how to properly set /etc/hosts

[Ro BGCT]

Hello,

I am new to FreeBSD and am wondering if someone couldt tell me how to
properly set /etc/hosts.  Right now it is:

127.0.0.1 localhost localhost.my.domain

It says to replace "my.domain" with the domain name of my machine.  If
I am using this box remotely and its hostname is "web1.server.net",
would I make the change like:

127.0.0.1 localhost web1.server.net

Or am I doing it wrong?

Thank you,