The 1, 3, & 5 year recalc option is entirely up to the individual and is a personal preference. No where is it NOT recommended to use any of them. Three years is the recommendation, however you should try them out for yourself and see which you like best.
From the manual:
player ratings based on real stats after each year
Forces OOTP to recalculate player ratings after each season based on how the players performed in real life. For example, if in the next season in real life a player performed at a much higher level, his OOTP ratings will increase automatically. If this is not enabled, players will improve normally according to their OOTP potential ratings.
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Ratings recalculation base
Determines the base to be used for player ratings recalculations. You can
choose 1, 3, or 5 years. For example, choosing three years means that
OOTP will recalculate ratings based on the next 3 years of the imported
players’ career.