How does LLM budget enforcement work in Cognocient?
LLM budget enforcement means blocking, degrading to a cheaper model, or alerting on AI spend before it exceeds a limit — enforced at the proxy, before the provider bills you. Set per-feature, per-department, and per-run budgets.
LLM budget enforcement means stopping AI spend before it happens, not flagging it after. Cognocient checks every API call against your configured budgets before the call reaches the provider. Set a budget in the dashboard and choose your enforcement mode: Block (hard stop), Degrade (auto-switch to cheaper model), or Alert (allow through, flag it).
Most cost tools read billing exports that are 24–48 hours late. Cognocient checks budget before the call reaches the provider — so overspend is impossible, not just notifiable. The check is a single atomic Redis operation that runs in sub-millisecond time on every request.
What are the three budget enforcement modes?
| Mode | What happens when the limit is hit | Best for |
|---|---|---|
| Alert | Call goes through, notification sent | Baseline measurement, new features |
| Block | HTTP 429 returned — provider never sees the call | Experiments, agents, dev/test |
| Degrade | Request silently rerouted to a cheaper model | Production features with SLA requirements |
The Base plan supports up to 3 active budgets. Growth and Business plans have unlimited budgets.
How do I create a budget in Cognocient?
Go to Dashboard → Budgets → New Budget and fill in:
- Name — descriptive label, e.g.
chatbot feature,Engineering department,Org total - Scope — Global (all traffic), Feature (by
X-Cost-Feature), Department (byX-Cost-Department), Model, or User - Monthly limit — the spending cap in USD
- Enforcement mode — Alert, Block, or Degrade
- Alert thresholds — default 50%, 80%, 100% — you get email/Slack at each
Alert mode
All API calls pass through normally. Cognocient sends a notification when your configured threshold is reached.
Example Slack notification:
Block mode
When the budget is exhausted, Cognocient returns HTTP 429 immediately. The AI provider never sees the request — overspend is structurally impossible.
Handle it gracefully in your application:
Degrade mode (recommended for production)
When the budget threshold is reached, Cognocient transparently rewrites requests to a cheaper model. Your application keeps working — cost drops immediately.
| Original model | Degraded to | Cost saving |
|---|---|---|
gpt-4o | gpt-4o-mini | ~94% |
claude-opus | claude-sonnet-4-6 | ~80% |
claude-sonnet-4-6 | claude-haiku | ~91% |
gemini-1.5-pro | gemini-1.5-flash | ~87% |
The response includes headers so you can optionally surface a UI indicator:
Budget scopes
| Scope | What it applies to | Example |
|---|---|---|
| Global | All traffic through your account | Monthly org cap: $5,000 |
| Feature | Calls with matching X-Cost-Feature | chatbot ≤ $800/mo |
| Department | Calls with matching X-Cost-Department | customer-success ≤ $2,000/mo |
| Model | All calls using a specific model | gpt-4o ≤ $1,000/mo |
| User | Calls from a specific X-Cost-User | Per-seat billing caps |
Stack budgets. A feature budget of $800/mo and a department budget of $2,000/mo coexist — both are checked, the most restrictive wins. See Hierarchical Budgets for how to set up nested limits.
Per-run limits for agents
For agentic workloads, add a per-run limit so a single runaway agent execution can't consume your entire monthly budget.
Configure in Budgets → New Budget → Per-run limit. When a run exceeds its limit, only that run is blocked — other concurrent runs continue normally.
Pass X-Cost-Run-ID on all agent calls (see Track Cost Per Agent Run).
Check remaining budget before your next agent step
For long-running agents, query remaining budget before each step to exit gracefully instead of being hard-stopped mid-execution:
Frequently asked questions
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