I generally practice this ritual every day and make up for days I missed by burning additional incense to "all benevolent divine beings" and giving additional food offerings to "local spirits" and "spirits of the household". I use these vague descriptors so to capture all possible Gods to whom I should be addressing my prayers. If you want to be more personal you might light the incense in honour of specific Gods whom you wish to honour (I admit that I am anxious not to offend any Gods by omission so I hesitate to be specific, though perhaps this is unduly superstitious).* You might also make a food and/or drink offering to the Lares and Penates. However, I prefer to use plain English, hence the all inclusive "spirits of the household" and "local spirits".
The ritual is performed at my household shrine/altar before the main meal of the day (dinner in my case). It may also be performed at the start of the day.
The head should be covered (a scarf over one's head, or the hood up if I am wearing a hoodie) and hands should be clean.