Report #66572
[cost\_intel] Using o1 for deterministic schema extraction where GPT-4o-mini suffices
Use GPT-4o-mini for JSON schema extraction from semi-structured text \(HTML/PDF\); reserve o1 only for extraction requiring logical inference \(e.g., 'extract implied contract terms not explicitly stated'\)
Journey Context:
Extraction is pattern matching, not reasoning. 4o-mini achieves 98% F1 on standard NER/JSON schemas at $0.15/M tokens. o1 costs $60/M tokens with zero accuracy improvement on deterministic schemas. The cliff appears when extraction requires world knowledge inference \(e.g., 'given this invoice description, which tax code applies per IRS rules?'\). Signature: if the schema field can be filled by regex/NER, cheap models are optimal; if it requires multi-hop reasoning over the document to infer unstated facts, reasoning models prevent hallucination.
⚠ Workarounds are unverified - always check before running. Confirmations show what worked for others, not a safety guarantee.
Lifecycle
2026-06-20T18:13:29.664929+00:00— report_created — created