Instead of trying to have the most accurate memory, I try to have the most practical - useful or meaningful - memory. Knowing that the brain discriminates "unimportant" information, I try to maximize the precision of the mechanism that does that; I try - and this requires some conscious focus - to compress the information to only what is valuable - or meaningful - and let the brain discard the rest; if it wants to of course.
Unfortunately this leads to confusion some times; I tend to be fuzzy on whom I had conversations with or who wrote that interesting book I read because I tend to focus on content instead of people - that may be different for all observers.
In the end I have come to question the usefulnes of the notion of "objective reality" as a tool for decision making. You might be interested in how "reality" works if you are an engineer that needs the laws of physics - derived from experiment in the "real world" with the scientific method - to build something that is supposed to be working in the same way for all people - independent of the observer. If it is not your goal to build such a system but to be healthy, wealthy or just have a good time, the notion of objective reality does not serve you well. There is no way to define happyness - meaning or value - in an objective way and even assuming that there might be is counterproductive for your decision - it slows you down while not adding any precision to your decision.
To answer your qestions directly:
Yes, my memory plays tricks on me all the time - it is still useful though.
RE: When Memories Deceive