diff --git a/skills/strategic-compact/SKILL.md b/skills/strategic-compact/SKILL.md
index 394a86b..562119b 100644
--- a/skills/strategic-compact/SKILL.md
+++ b/skills/strategic-compact/SKILL.md
@@ -7,6 +7,14 @@ description: Suggests manual context compaction at logical intervals to preserve
 
 Suggests manual `/compact` at strategic points in your workflow rather than relying on arbitrary auto-compaction.
 
+## When to Activate
+
+- Running long sessions that approach context limits (200K+ tokens)
+- Working on multi-phase tasks (research → plan → implement → test)
+- Switching between unrelated tasks within the same session
+- After completing a major milestone and starting new work
+- When responses slow down or become less coherent (context pressure)
+
 ## Why Strategic Compaction?
 
 Auto-compaction triggers at arbitrary points:
@@ -15,17 +23,17 @@ Auto-compaction triggers at arbitrary points:
 - Can interrupt complex multi-step operations
 
 Strategic compaction at logical boundaries:
-- **After exploration, before execution** - Compact research context, keep implementation plan
-- **After completing a milestone** - Fresh start for next phase
-- **Before major context shifts** - Clear exploration context before different task
+- **After exploration, before execution** — Compact research context, keep implementation plan
+- **After completing a milestone** — Fresh start for next phase
+- **Before major context shifts** — Clear exploration context before different task
 
 ## How It Works
 
 The `suggest-compact.sh` script runs on PreToolUse (Edit/Write) and:
 
-1. **Tracks tool calls** - Counts tool invocations in session
-2. **Threshold detection** - Suggests at configurable threshold (default: 50 calls)
-3. **Periodic reminders** - Reminds every 25 calls after threshold
+1. **Tracks tool calls** — Counts tool invocations in session
+2. **Threshold detection** — Suggests at configurable threshold (default: 50 calls)
+3. **Periodic reminders** — Reminds every 25 calls after threshold
 
 ## Hook Setup
 
@@ -48,16 +56,44 @@ Add to your `~/.claude/settings.json`:
 ## Configuration
 
 Environment variables:
-- `COMPACT_THRESHOLD` - Tool calls before first suggestion (default: 50)
+- `COMPACT_THRESHOLD` — Tool calls before first suggestion (default: 50)
+
+## Compaction Decision Guide
+
+Use this table to decide when to compact:
+
+| Phase Transition | Compact? | Why |
+|-----------------|----------|-----|
+| Research → Planning | Yes | Research context is bulky; plan is the distilled output |
+| Planning → Implementation | Yes | Plan is in TodoWrite or a file; free up context for code |
+| Implementation → Testing | Maybe | Keep if tests reference recent code; compact if switching focus |
+| Debugging → Next feature | Yes | Debug traces pollute context for unrelated work |
+| Mid-implementation | No | Losing variable names, file paths, and partial state is costly |
+| After a failed approach | Yes | Clear the dead-end reasoning before trying a new approach |
+
+## What Survives Compaction
+
+Understanding what persists helps you compact with confidence:
+
+| Persists | Lost |
+|----------|------|
+| CLAUDE.md instructions | Intermediate reasoning and analysis |
+| TodoWrite task list | File contents you previously read |
+| Memory files (`~/.claude/memory/`) | Multi-step conversation context |
+| Git state (commits, branches) | Tool call history and counts |
+| Files on disk | Nuanced user preferences stated verbally |
 
 ## Best Practices
 
-1. **Compact after planning** - Once plan is finalized, compact to start fresh
-2. **Compact after debugging** - Clear error-resolution context before continuing
-3. **Don't compact mid-implementation** - Preserve context for related changes
-4. **Read the suggestion** - The hook tells you *when*, you decide *if*
+1. **Compact after planning** — Once plan is finalized in TodoWrite, compact to start fresh
+2. **Compact after debugging** — Clear error-resolution context before continuing
+3. **Don't compact mid-implementation** — Preserve context for related changes
+4. **Read the suggestion** — The hook tells you *when*, you decide *if*
+5. **Write before compacting** — Save important context to files or memory before compacting
+6. **Use `/compact` with a summary** — Add a custom message: `/compact Focus on implementing auth middleware next`
 
 ## Related
 
-- [The Longform Guide](https://x.com/affaanmustafa/status/2014040193557471352) - Token optimization section
-- Memory persistence hooks - For state that survives compaction
+- [The Longform Guide](https://x.com/affaanmustafa/status/2014040193557471352) — Token optimization section
+- Memory persistence hooks — For state that survives compaction
+- `continuous-learning` skill — Extracts patterns before session ends
diff --git a/tests/integration/hooks.test.js b/tests/integration/hooks.test.js
index a9e9355..19fab86 100644
--- a/tests/integration/hooks.test.js
+++ b/tests/integration/hooks.test.js
@@ -307,8 +307,7 @@ async function runTests() {
     try {
       const result = await runHookWithInput(
         path.join(scriptsDir, 'evaluate-session.js'),
-        {},
-        { CLAUDE_TRANSCRIPT_PATH: transcriptPath }
+        { transcript_path: transcriptPath }
       );
 
       // Should not crash, just skip processing
@@ -364,8 +363,7 @@ async function runTests() {
     try {
       const result = await runHookWithInput(
         path.join(scriptsDir, 'evaluate-session.js'),
-        {},
-        { CLAUDE_TRANSCRIPT_PATH: transcriptPath }
+        { transcript_path: transcriptPath }
       );
 
       assert.ok(result.stderr.includes('15 messages'), 'Should process session');