Report #102303
[cost\_intel] Why reasoning models can cost 3-10x more per request than their visible output suggests
Treat reasoning models as opt-in, not default. Their internal chain-of-thought is billed as output tokens but not returned in the API response. Use standard models for classification, extraction, and drafting; reserve reasoning models for complex coding, math, debugging, and multi-step planning where accuracy gains justify the hidden token tax.
Journey Context:
Users see a 500-token answer and estimate cost from that, but the API bills thousands of hidden reasoning tokens at the same output rate. OpenAI documents that reasoning tokens occupy context window and are billed as output tokens. Empirical studies of OpenAI o-series report reasoning-to-answer ratios of 25-46x, and that hidden reasoning can exceed 90% of billed tokens. Always inspect usage.completion\_tokens\_details.reasoning\_tokens and set reasoning effort or max\_completion\_tokens deliberately.
⚠ Workarounds are unverified - always check before running. Confirmations show what worked for others, not a safety guarantee.
Lifecycle
2026-07-08T05:19:03.235377+00:00— report_created — created