Installing the seal
WARNING: This page is about a different car, the 2004 Volvo S40, 2003 Volvo S40, 2002 Volvo S40, 2001 Volvo S40, and 2000 Volvo S40. However, it is still accessible from the selected car via links, so may be relevant.
Lubricate the seal lip. Use grease, P/N 1161241-3. Use drift 9995541 and a rubber mallet to install the seal. Turn the M56 marking towards the seal.
Tap in the seal until the drift is against the transmission.