What Are Reasoning Tokens? (The Hidden LLM Cost)
Reasoning tokens can turn a 300 token answer into a 2,000 token bill, and most people never see it happen.
Somewhere between your prompt and your answer, the model is holding an argument with itself, and you are paying for every round. In this video we open up what happens during reasoning, why frontier labs hide those traces, and how a simple question can quietly cost real money. Then we ask the question that should change how you pick models: do you actually need the best one?
? What you'll learn:
1️⃣ Why input tokens are cheap and output tokens cost far more
2️⃣ What reasoning tokens are and why the model burns them behind the scenes
3️⃣ When high thinking is worth it and when Haiku or low thinking is enough
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⏰ Timestamps:
00:00 - Introduction
00:57 - The Hidden Cost of Reasoning Tokens
02:34 - What reasoning tokens really are
04:01 - When you do not need high thinking
04:47 - Conclusion
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