diff --git a/README.md b/README.md
index 8519d00..d87b8dd 100644
--- a/README.md
+++ b/README.md
@@ -51,9 +51,6 @@ In the stack configuration, add the following environment variables:
 | `DB_PORT` | PostgreSQL port | `5432` |
 | `DB_USER` | Database user | `prefect` |
 | `DB_PASSWORD` | Database password | *secret* |
-| `S3_ACCESS_KEY` | Garage S3 access key | *secret* |
-| `S3_SECRET_KEY` | Garage S3 secret key | *secret* |
-| `S3_ENDPOINT_URL` | Garage S3 endpoint | `https://s3.taila5ad8.ts.net` |
 
 > **Tip**: Use Komodo's secret variables (marked with 🔒) for sensitive values.
 
@@ -88,14 +85,33 @@ Once deployed: https://prefect.taila5ad8.ts.net
 
 The `prefect-worker-pg-backup` service automatically creates and listens to the `pg-backup-pool` work pool (type: process).
 
-To deploy a flow to this pool:
+## Secrets Management
+
+Flow-specific secrets (S3 credentials, database passwords, API keys, etc.) should be managed via **Prefect Blocks**, not environment variables in the compose file.
+
+### Creating a Block (example with S3/Garage)
+
+```python
+from prefect_aws import AwsCredentials
+
+creds = AwsCredentials(
+    aws_access_key_id="xxx",
+    aws_secret_access_key="xxx",
+    aws_endpoint_url="https://s3.taila5ad8.ts.net"
+)
+creds.save("garage-credentials")
+```
+
+### Using in a flow
 
 ```python
 from prefect import flow
+from prefect_aws import AwsCredentials
 
 @flow
 def my_backup_flow():
-    ...
+    creds = AwsCredentials.load("garage-credentials")
+    # use creds...
 
 my_backup_flow.deploy(
     name="my-backup",
diff --git a/docker-compose.yml b/docker-compose.yml
index 7043ae9..5c476ce 100644
--- a/docker-compose.yml
+++ b/docker-compose.yml
@@ -78,12 +78,7 @@ services:
     depends_on:
       - prefect-server
     environment:
-      # Prefect API connection (via Tailscale)
       - PREFECT_API_URL=http://localhost:4200/api
-      # S3 credentials for Garage
-      - AWS_ACCESS_KEY_ID=${S3_ACCESS_KEY}
-      - AWS_SECRET_ACCESS_KEY=${S3_SECRET_KEY}
-      - AWS_ENDPOINT_URL=${S3_ENDPOINT_URL}
     command: prefect worker start --pool pg-backup-pool --type process
     restart: unless-stopped