I would take the tile to the end of the counter top and find a way to finish off the top for the 1 1/2 inches that it sticks out from the cabinet bottom. I'm a bit confused about your second question and I haven't seen tile above the kitchen window.

Your tile looks great. If it was my kitchen I would not tile above the window. If you could replace that can light above the sink with some type of slightly blingy rectangular or oval semi flush mount light that might look nice. Here are just a few random ones I found (sorry if the pictures are too big). I'm sure other GWers could come up with more options If you didn't want to do a light fixture some horizontal art work piece could be put in the space.

I have a similar question five years later: Is the 4" matching back splash now out of style? And how long will it stay out of style? Doubt that it would be possible to get a full matching back splash 14 years after the home was built. I am considering removing the 4" back splash and going with a complementary tile or, perhaps, a colorful wallpaper. Thoughts as to how long the short back spash will stay out of style? (I'm old enough to remember bell bottoms - the first time they were in style.)

Here's what I would do, though a lot of this is just personal preference (and budget): •To the right of the window: I'd take tile to the edge of the counter and same height as the bottom of the cabinet. Going all the way up would look nice too but more costly. •On the peninsula: Either stop the tile even with the edge of the top cabinet or go to the edge of the wall (in both cases, up to bottom of top cabinet). Pros and cons to both since you have that sliver of wall that runs up next to the cabinet, so just see what looks right to you. •The stove wall: Stop the tile in the right back corner. Wrapping the corner introduces a whole new set of decisions to make and I don't think you need to. (If you decide to, though, I'd run it to end at the edge of the counter.) •To the left of the stove: Stop even with the bottom of the hood since there's no counter on the other side and it looks like your hood edge is flush with your stove edge. Move the light switch over to clear the backsplash (or maybe somewhere else entirely, depending on what lights it controls). •Tile inside open cubby where microwave is: Just the back, or no tile at all. Wrapping the side is going to leave an odd slice of drywall between the tile there and the tile above the stove. Some of this you may just need to figure out as you go and see what looks right--dry fit everything before you start so you can see what is looking off to your eye. Good luck!