diff --git a/apps/marketing/src/content/docs/commands/annotate.md b/apps/marketing/src/content/docs/commands/annotate.md
index 497b9cc64..606eed9f5 100644
--- a/apps/marketing/src/content/docs/commands/annotate.md
+++ b/apps/marketing/src/content/docs/commands/annotate.md
@@ -76,7 +76,7 @@ Three ways to disable Jina Reader, in priority order:
 
 1. **CLI flag:** `--no-jina`
 2. **Environment variable:** `PLANNOTATOR_JINA=0` or `PLANNOTATOR_JINA=false`
-3. **Config file:** `~/.plannotator/config.json` with `{ "jina": false }`
+3. **Config file:** `config.json` in the Plannotator data directory with `{ "jina": false }` (`~/.plannotator/config.json` by default, or `$PLANNOTATOR_DATA_DIR/config.json` when overridden)
 
 If none of these are set, Jina is enabled by default.
 
@@ -100,6 +100,18 @@ For local HTML files, `--markdown` switches from raw HTML rendering to markdown
 
 When annotating an HTML file or URL (not plain markdown), a small badge appears under the document title showing where the content came from. For URLs it shows the hostname (e.g. "stripe.com"). For HTML files it shows the filename (e.g. "guide.html").
 
+## Per-file version history
+
+Opening a non-empty local `.md`, `.mdx`, `.txt`, `.html`, or `.htm` file saves a copy for version history. Empty files do not create history. History is keyed by the file's resolved path, so reopening the same path after editing it exposes the previous/current diff and its earlier versions in the sidebar's Version Browser. Consecutive opens with identical content are deduplicated and do not create another version.
+
+### Privacy and retention
+
+History stores complete copies of eligible local files. For HTML files rendered directly (the default), it stores the raw HTML source; with `--markdown`, it stores the converted markdown. Versions are not automatically pruned or expired and remain until you manually remove them.
+
+These copies are stored under `~/.plannotator/history/` by default, or under `$PLANNOTATOR_DATA_DIR/history/` when the data directory is overridden. To keep local file annotation stateless, set `PLANNOTATOR_ANNOTATE_HISTORY=0` or add `"annotateHistory": false` to the active config file: `~/.plannotator/config.json` by default, or `$PLANNOTATOR_DATA_DIR/config.json` when overridden. The environment variable takes precedence over the config setting.
+
+URL annotation, folder browsing, and last-message annotation do not use per-file version history.
+
 ## Annotate mode differences
 
 The annotation UI in annotate mode works the same as plan review, with a few changes:
@@ -192,10 +204,11 @@ The agent receives this and can act on each annotation.
 
 ## Environment variables
 
-The annotate server respects the same environment variables as plan review, plus two specific to URL annotation:
+The annotate server respects the same environment variables as plan review. `PLANNOTATOR_ANNOTATE_HISTORY` controls eligible local-file history; `PLANNOTATOR_JINA` and `JINA_API_KEY` apply to URL annotation.
 
 | Variable | Default | Description |
 |----------|---------|-------------|
+| `PLANNOTATOR_ANNOTATE_HISTORY` | enabled | Set to `0` or `false` to disable per-file version history for local file annotation. |
 | `PLANNOTATOR_JINA` | enabled | Set to `0` or `false` to disable Jina Reader for URL annotation. |
 | `JINA_API_KEY` | (none) | Optional Jina Reader API key for higher rate limits (500 RPM vs 20 RPM). |
 
diff --git a/apps/marketing/src/content/docs/reference/environment-variables.md b/apps/marketing/src/content/docs/reference/environment-variables.md
index 17661715b..1e1de17d0 100644
--- a/apps/marketing/src/content/docs/reference/environment-variables.md
+++ b/apps/marketing/src/content/docs/reference/environment-variables.md
@@ -38,9 +38,12 @@ All Plannotator environment variables and their defaults.
 
 | Variable | Default | Description |
 |----------|---------|-------------|
-| `PLANNOTATOR_JINA` | enabled | Set to `0` or `false` to disable Jina Reader for URL annotation. Set to `1` or `true` to enable (this is the default). Can also be set via `~/.plannotator/config.json` (`{ "jina": false }`) or per-invocation via `--no-jina`. |
+| `PLANNOTATOR_ANNOTATE_HISTORY` | enabled | Set to `0` or `false` to disable per-file version history for non-empty local file annotation. Set to `1` or `true` to enable (this is the default). Can also be set in the active config file (`{ "annotateHistory": false }`); the environment variable takes precedence. Does not apply to URL, folder, or last-message annotation. |
+| `PLANNOTATOR_JINA` | enabled | Set to `0` or `false` to disable Jina Reader for URL annotation. Set to `1` or `true` to enable (this is the default). Can also be set in the active config file (`{ "jina": false }`) or per-invocation via `--no-jina`. |
 | `JINA_API_KEY` | (none) | Optional Jina Reader API key for higher rate limits. Without it: 20 req/min. With it: 500 req/min. Free keys available from [Jina](https://jina.ai/reader/) and include 10M tokens. |
 
+The active config file is `~/.plannotator/config.json` by default, or `$PLANNOTATOR_DATA_DIR/config.json` when the data directory is overridden.
+
 ## Paste service variables
 
 | Variable | Default | Description |