Being short-statured myself, I have the same problem. What I do depends on the hose. Some will look OK being folded over like you describe (wrong-side out). Others won't.

I always pull them up over my knee and tie my garters first (usually before putting on my kilt... it just seems easier that way). Depending on the hose, I'll do one of these:

1. Fold the top all the way down to the height I want, then reverse the end back up over it so it's wrong-side out, if the pattern allows. I'll usually tuck the end back into the top of the fold so it hides the edge.

2. Do a double-fold underneath so the extra material is hidden, and all you see from the outside is one fold, and no edge.

Sometimes the cuff pattern doesn't start until well above where I want to fold it. So if I fold it over, you see the reverse side of the ribbing, which looks terrible. If this is the case, I have to do a double-fold before putting on my garter ties to take up some material, which is a real pain.

I REALLY wish the hose manufacturers wouldn't make them so darn long. When you order a pair of hose in size small, there should be more attention paid than just shortening the foot. A person who wears a small size is usually going to be shorter as well, so they need to shorten the length significantly. I'd say most hose I've bought are usually a good 3" to 4" too long.

Granted, people with larger calves may not have this problem because the hose will shorten as they stretch around the larger diameter. But I'm cursed with not only small feet and short stature, but skinny legs too. So even a small is too big.

This is why I tend to prefer custom-knit hose where I can specify not only the foot size but the calf diameter and total height as well. We non-average people apparently have to pay extra to get a decent fit.