title

Claude Code — Cost & Optimization Diagrams

description

Model selection, cost optimization, subscription tiers, token reduction strategies

Cost & Optimization

How to get maximum value from Claude Code while controlling token consumption and costs.

Model Selection Decision Flow

Not all tasks need the most powerful model. Using the right model for the right task cuts costs by 5-10x without sacrificing quality.

This diagram assumes an unconstrained budget (Max/API). On tighter plans (Pro, Teams Standard), apply the budget modifier below.

flowchart TD
    A([Task to complete]) --> B{Task complexity?}

    B -->|Simple| C["Simple tasks:<br/>typo fixes, renames,<br/>formatting, translations"]
    C --> D([Haiku 4.5<br/>💰 Cheapest, fastest<br/>~5x cheaper than Sonnet])

    B -->|Standard| E["Standard tasks:<br/>feature implementation,<br/>bug fixes, refactoring"]
    E --> F([Sonnet 4.5/4.6<br/>💰💰 Balanced<br/>Best price/quality ratio])

    B -->|Complex| G{Needs deep<br/>reasoning?}
    G -->|Yes| H["Complex tasks:<br/>architecture decisions,<br/>security review,<br/>multi-file analysis"]
    H --> I([Opus 4.7 — Maximum capability xhigh<br/>Opus 4.6 — Deep analysis<br/>💰💰💰 Most capable<br/>~5x more than Sonnet])

    G -->|No: just large| J["Large but clear tasks:<br/>big refactors,<br/>doc generation"]
    J --> F

    style A fill:#F5E6D3,color:#333
    style B fill:#E87E2F,color:#fff
    style G fill:#E87E2F,color:#fff
    style D fill:#7BC47F,color:#333
    style F fill:#6DB3F2,color:#fff
    style I fill:#E87E2F,color:#fff
    style C fill:#B8B8B8,color:#333
    style E fill:#B8B8B8,color:#333
    style H fill:#B8B8B8,color:#333
    style J fill:#B8B8B8,color:#333

    click A href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Task to complete"
    click B href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Task complexity?"
    click C href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Simple tasks"
    click D href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Haiku 4.5"
    click E href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Standard tasks"
    click F href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Sonnet 4.5/4.6"
    click G href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Needs deep reasoning?"
    click H href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Complex tasks"
    click I href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Opus 4.7 / Opus 4.6 / Sonnet + --think-hard"
    click J href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Large but clear tasks"

Pricing: Relative costs shown — check current rates at anthropic.com/pricing.

Budget modifier — On constrained plans, downgrade one tier per phase:

Plan	Planning phase	Implementation phase
Max / API unconstrained (xhigh)	Opus 4.7	Sonnet
Max / API unconstrained	Opus 4.6	Sonnet
Pro / Teams Standard	Sonnet	Haiku (mechanical tasks)
API tight budget	Sonnet	Haiku

Community pattern (Teams Standard $25/mo): Sonnet for Plan → Haiku for Implementation. Same quality output on mechanical tasks at a fraction of the cost.

ASCII version

Task complexity?
├─ Simple (typos, format, rename) → Haiku 4.5       ($  — ~5x cheaper than Sonnet)
├─ Standard (features, bugs)      → Sonnet 4.5/4.6  ($$ — best price/quality ratio)
└─ Complex (architecture, sec.)
   ├─ Needs deep reasoning?        → Opus 4.7 (xhigh) / Opus 4.6  ($$$ — ~5x more than Sonnet)
   └─ Just large/clear?            → Sonnet 4.6                    ($$ — handles it)

Budget modifier (downgrade one tier on constrained plans):
  Max/API (xhigh)  → Opus 4.7 plan, Sonnet impl
  Max/API          → Opus 4.6 plan, Sonnet impl
  Pro/Teams        → Sonnet plan, Haiku impl (mechanical tasks)

Source: Model Selection — Line ~2634

Cost Optimization Decision Tree

High token costs are usually fixable. This systematic tree identifies the root cause and points to the right fix for each waste pattern.

flowchart TD
    A([High token costs?]) --> B{Context<br/>too large?}
    B -->|Yes| C(Use /compact<br/>or start fresh session)
    C --> Z([Saves 40-60%<br/>per session])

    B -->|No| D{Verbose<br/>responses?}
    D -->|Yes| E(Add CLAUDE.md instruction:<br/>'Be concise, avoid explanations')
    E --> Z2([Saves 20-30%])

    D -->|No| F{Re-explaining<br/>context repeatedly?}
    F -->|Yes| G(Move repeated context<br/>to CLAUDE.md)
    G --> Z3([Saves 15-25%])

    F -->|No| H{Using wrong<br/>model for task?}
    H -->|Yes| I(Use Haiku for simple tasks<br/>See model selection tree)
    I --> Z4([Saves 50-90%<br/>on simple tasks])

    H -->|No| J{MCP server<br/>noisy output?}
    J -->|Yes| K(Review MCP verbosity<br/>Filter tool output)
    K --> Z5([Saves 10-20%])

    J -->|No| L([Baseline cost<br/>acceptable])

    style A fill:#F5E6D3,color:#333
    style B fill:#E87E2F,color:#fff
    style D fill:#E87E2F,color:#fff
    style F fill:#E87E2F,color:#fff
    style H fill:#E87E2F,color:#fff
    style J fill:#E87E2F,color:#fff
    style Z fill:#7BC47F,color:#333
    style Z2 fill:#7BC47F,color:#333
    style Z3 fill:#7BC47F,color:#333
    style Z4 fill:#7BC47F,color:#333
    style Z5 fill:#7BC47F,color:#333
    style L fill:#B8B8B8,color:#333

    click A href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "High token costs?"
    click B href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Context too large?"
    click C href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Use /compact or start fresh"
    click D href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Verbose responses?"
    click E href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Add CLAUDE.md instruction"
    click F href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Re-explaining context?"
    click G href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Move context to CLAUDE.md"
    click H href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Wrong model?"
    click I href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Use Haiku for simple tasks"
    click J href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Noisy MCP output?"
    click K href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Review MCP verbosity"
    click L href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Baseline cost acceptable"
    click Z href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 40-60%"
    click Z2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 20-30%"
    click Z3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 15-25%"
    click Z4 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 50-90%"
    click Z5 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 10-20%"

ASCII version

High costs?
├─ Context too large?      → /compact or new session    (40-60% saving)
├─ Verbose responses?      → CLAUDE.md: be concise      (20-30% saving)
├─ Repeating context?      → Move to CLAUDE.md          (15-25% saving)
├─ Wrong model?            → Use Haiku for simple tasks (50-90% saving)
├─ Noisy MCP output?       → Filter tool output         (10-20% saving)
└─ None of the above?      → Baseline cost, acceptable

Effort slider — /effort xlow/low/default/high/xhigh (v2.1.111) lets you tune thinking depth per task. Lower effort = fewer tokens consumed on thinking. Combine with model selection for fine-grained cost control.

Source: Cost Optimization — Line ~8878

Subscription Tiers — What Each Unlocks

Different tiers unlock different Claude Code capabilities. Knowing the limits helps you plan usage and justify upgrades.

flowchart LR
    subgraph FREE["Free Tier"]
        F1[Claude.ai web only]
        F2[Limited messages/day]
        F3[❌ No Claude Code CLI]
        F4[❌ No parallel sessions]
    end

    subgraph PRO["Pro ($20/mo)"]
        P1[Claude Code CLI ✓]
        P2[Limited usage<br/>~1x baseline]
        P3[Personal projects]
        P4[❌ No parallel sessions<br/>out of the box]
    end

    subgraph MAX["Max ($100-200/mo)"]
        M1[Claude Code CLI ✓]
        M2[5x-20x more usage]
        M3[Parallel sessions ✓]
        M4[Priority access ✓]
    end

    subgraph TEAM["Team / Enterprise"]
        T1[Per-seat pricing]
        T2[Admin controls ✓]
        T3[Usage analytics ✓]
        T4[SSO + compliance ✓]
        T5[Audit logs ✓]
    end

    style F3 fill:#E85D5D,color:#fff
    style F4 fill:#E85D5D,color:#fff
    style P4 fill:#E87E2F,color:#fff
    style P1 fill:#7BC47F,color:#333
    style M1 fill:#7BC47F,color:#333
    style M2 fill:#7BC47F,color:#333
    style M3 fill:#7BC47F,color:#333
    style M4 fill:#7BC47F,color:#333
    style T1 fill:#6DB3F2,color:#fff
    style T2 fill:#6DB3F2,color:#fff
    style T3 fill:#6DB3F2,color:#fff
    style T4 fill:#6DB3F2,color:#fff
    style T5 fill:#6DB3F2,color:#fff

    click F1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Free: Claude.ai web only"
    click F2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Free: Limited messages"
    click F3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Free: No CLI"
    click F4 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Free: No parallel sessions"
    click P1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Pro: Claude Code CLI"
    click P2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Pro: Limited usage"
    click P3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Pro: Personal projects"
    click P4 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Pro: No parallel sessions"
    click M1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Max: Claude Code CLI"
    click M2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Max: 5x-20x usage"
    click M3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Max: Parallel sessions"
    click M4 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Max: Priority access"
    click T1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Team: Per-seat pricing"
    click T2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Team: Admin controls"
    click T3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Team: Usage analytics"
    click T4 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Team: SSO + compliance"
    click T5 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Team: Audit logs"

ASCII version

FREE         PRO ($20)        MAX ($100-200)   TEAM/Enterprise
────         ─────────        ──────────────   ───────────────
Web only     CLI ✓            CLI ✓            Per-seat
Limited msgs Limited usage    5-20x usage      Admin controls
No CLI       Personal use     Parallel ✓       Analytics
             No parallel      Priority ✓       SSO + compliance

Source: Subscription Tiers — Line ~1933

Token Reduction Strategies Pipeline

Multiple strategies stack for cumulative token savings. Apply them in order from highest impact to lowest effort.

flowchart LR
    BASE([Baseline:<br/>100% tokens]) --> RTK

    subgraph RTK["Strategy 1: RTK Proxy"]
        R1[Raw CLI output<br/>→ filtered output]
        R2["git status, cargo test,<br/>pnpm list → compressed"]
        R3[Saves 60-90%<br/>on CLI commands]
    end

    RTK --> COMP

    subgraph COMP["Strategy 2: /compact"]
        C1[Long conversation<br/>→ summarized]
        C2[Keep decisions,<br/>drop verbose reasoning]
        C3[Saves 40-60%<br/>at checkpoint]
    end

    COMP --> CLAUDE_MD

    subgraph CLAUDE_MD["Strategy 3: CLAUDE.md"]
        CM1[Repeated context<br/>→ persistent instructions]
        CM2[No re-explaining<br/>project conventions]
        CM3[Saves 15-25%<br/>per session]
    end

    CLAUDE_MD --> MODEL

    subgraph MODEL["Strategy 4: Model Selection"]
        MO1[Haiku for simple tasks<br/>instead of Sonnet]
        MO2[Same quality output<br/>at fraction of cost]
        MO3[Saves 50-90%<br/>on simple tasks]
    end

    MODEL --> RESULT([Optimized:<br/>10-20% of baseline<br/>for typical usage])

    style BASE fill:#E85D5D,color:#fff
    style R3 fill:#7BC47F,color:#333
    style C3 fill:#7BC47F,color:#333
    style CM3 fill:#7BC47F,color:#333
    style MO3 fill:#7BC47F,color:#333
    style RESULT fill:#7BC47F,color:#333

    click BASE href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Baseline: 100% tokens"
    click R1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Raw CLI output filtered"
    click R2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "RTK commands"
    click R3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 60-90% on CLI"
    click C1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Long conversation summarized"
    click C2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Keep decisions"
    click C3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 40-60% at checkpoint"
    click CM1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#31-memory-files-claudemd" "Repeated context persistent"
    click CM2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#31-memory-files-claudemd" "No re-explaining conventions"
    click CM3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Saves 15-25% per session"
    click MO1 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Haiku for simple tasks"
    click MO2 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Same quality at lower cost"
    click MO3 href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#25-model-selection--thinking-guide" "Saves 50-90% on simple"
    click RESULT href "https://github.com/FlorianBruniaux/claude-code-ultimate-guide/blob/main/guide/ultimate-guide.md#913-cost-optimization-strategies" "Optimized: 10-20% of baseline"

ASCII version

100% baseline
    │
RTK proxy (CLI output compression)  → -60-90% on CLI ops
    │
/compact (conversation summarization) → -40-60% at checkpoint
    │
CLAUDE.md (avoid repeated context)    → -15-25% per session
    │
Model selection (Haiku for simple)    → -50-90% on simple tasks
    │
~10-20% of baseline for typical usage

Track usage — Use /usage to monitor token consumption and costs (replaces /cost as of v2.1.118; /cost remains a valid alias).

Source: Token Optimization — Line ~13355

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Cost & Optimization

Model Selection Decision Flow

Cost Optimization Decision Tree

Subscription Tiers — What Each Unlocks

Token Reduction Strategies Pipeline