Skip to content

Thinking Costs Tokens: When More Structure is Worth the Price

Aug 2026 · 0 citations · 12 references
Computer Science

TL;DR

This paper investigates whether there exists a token-budget threshold, below which the overhead of planning and verification hurts performance and above which it helps, and evaluates two systems on FinQA and TAT-QA financial reasoning tasks.

Abstract

Adding inference structure to a language model lets it search, verify, and revise, but these actions consume the very budget they are supposed to use well. In this paper, we investigate whether there exists a token-budget threshold, below which the overhead of planning and verification hurts performance and above which it helps. We evaluate two systems on FinQA and TAT-QA financial reasoning tasks, using GPT-5.4 mini across 14 budget tiers ranging from 250 to 42,000 output-equivalent tokens. The first system is a monolith, which is a single LLM call. The second is a verified search architecture that adds planning, label-blind checking, and repair capabilities. We run 1,000 cases for a total of 28,000 completed cells. Both systems score 0% at the two lowest tiers, where neither can fit a complete prompt. At 1,000 tokens, the monolith reaches 18% accuracy while verified search scores near 0%, since the planning overhead leaves no room for an answer. From 1,500 tokens onward, verified search surpasses the monolith and maintains a consistent advantage, reaching approximately 44% at the highest tiers while the monolith reaches approximately 40%. The crossover occurs between 1,000 and 1,500 output-equivalent tokens, confirmed by a strict intersection-union test ($p \le 0.001$ at both endpoints).

View source

Similar papers

#machine learning Preprint Aug 2026

Thinking in a Low-Resource Language: What SFT Builds, What RL Fixes, What Accuracy Cannot See

Take three frontier mixture-of-experts models (Alibaba, OpenAI, NVIDIA; 3.6-4.0B active parameters each) and fine-tune them to reason in a low-resource language. On accuracy benchmarks almost nothing happens, and the benchmark itself is noise at this scale: changing only the random seed moves the score by 7.7 points, m...

Ayoub Kirouane, Christos Petrocheilos · 0 citations
Preprint Aug 2026

Who Thinks Best Depends on How Long You Let Them: Budget-Dependent Rankings in LLM Evaluation

Standard evaluation of large language models is challenged by varying the token generation budget, i.e., the maximum tokens a model may produce, across seven levels, evaluating four models on three reasoning benchmarks, and finding three findings that argue for budget-conditioned evaluation protocols.

Rodrigo Guedes de Souza, Alison R. Panisson · 1 citation
#artificial intelligence Preprint Sep 2026

It's the Problem, Not the Path: Budget and Difficulty Confounds in LLM Reasoning Trajectories

Two restart-controlled truncation probes separate when a solution fits the continuation budget from when a prefix carries value that fresh computation cannot buy, and a pre-registered, difficulty-controlled test finds no detectable outcome information in early-window internal signals beyond a problem-difficulty baselin...

Yigit Utku Bulut · 1 citation
Preprint Aug 2026

Mind the Cap: Output-Budget Regimes Change the Measured Multilingual Reasoning Gap

Multilingual evaluations report accuracy at a single output-token cap, but languages need different numbers of tokens to express the same content, so the cap is a hidden experimental variable. We test whether the native-vs-translate gap on MGSM (German, Thai, Swahili) is a token-budget artifact for Qwen3-8B and Llama-3...

Ankit Goyal, Jaideep Ray · 0 citations
Preprint Aug 2026

How Much Does a Reasoning Summary Reveal? An Observability Ladder for Large Language Models

An observability ladder is introduced that holds each completed run fixed and varies only what a reader inspects to judge whether the answer is correct: the response, a self-summary the model writes from the trace, the trace itself, and internal signals, each with and without the prompt.

A. Algaba, Francesca Carlon, Lynn Delcon et al. · 0 citations

Related blog posts

We use cookies to run the site and, with your consent, for analytics and to show ads. See our Cookie Policy.