If you want, you can remember it like this. "廁" is the initial form of "厕". In Ancient China, there are a few rooms in the yard, just similar to the Beijing 四合院. "广" means the most important room in this yard. "侧" means sideward, "亻" means a person. Similarly, "廁" means something beside the most important room in this yard. And the toilet is alway in the corner of the yard. So we could say it is beside the most important room.
Anyway, please do not learn Chinese in this way if you wanna learn it fast and only for communication. However, if you want to study Chinese, this is absolutely the right way.