Token Budget Saturation and Mechanistic Early Detection of Reasoning Non-Convergence in Chain-of-Thought Models

Chain-of-thought reasoning is often treated as a monotone way to improve language-model accuracy by letting a model think longer. We identify a countervailing effect, the coupling tax: when reasoning traces and final answers share one output-token budget, long traces can crowd out the answer they are meant to support. Across GSM8K, MATH-500, and five BIG-Bench Hard tasks with Qwen3 models at three scales, non-thinking mode matches or outperforms thinking mode on GSM8K and MATH-500 at every budget up to 2048 tokens, while harder tasks shift the crossover to larger budgets. We derive a truncation-waste decomposition, $\mathrm{Acc}_{\mathrm{think}}(b)=α_c F_L(b)+α_t(1-F_L(b))$, that predicts this crossover from chain-length and accuracy statistics and explains inverse scaling within the Qwen family. A DeepSeek-R1-Distill-Llama-8B replication shows the same pattern under a different thinking interface. As a mitigation, split-budget generation decouples reasoning and answer budgets; on full MATH-500, IRIS reaches 74.0% accuracy, a strengthened extraction variant reaches 78.8%, and a fixed non-oracle SC+IRIS gate reaches 83.6%. The results show that test-time reasoning should be evaluated as a budget-allocation problem, not only as a question of whether longer traces are available.

This paper investigates the entropy dynamics of Chain-of-Thought (CoT) and uncovers a consistent two-phase structure: an Uncertainty Region of exploration transitioning sharply to a Confidence Region of convergence. We demonstrate that the Confidence Region possesses two critical properties: 1) High Reliability -- answers in the confidence region become highly accurate and stable, and 2) High Redundancy -- models generate unnecessary tokens long after reaching the correct answer. These properties unlock more efficient and reliable inference strategies: 1) Early Exit leverages reliability and redundancy to terminate computation safely when returns diminish, and 2)Test-Time Scaling uses the Confidence Region signal to prioritize converged trajectories. To operationalize these insights, we formulate Confidence Region detection as a sequential change-point detection problem, being the first to apply classical change-point methods to monitor CoT reasoning. Using the Cumulative Sum (CUSUM) algorithm, a statistically optimal change-point detector, we develop a training-free framework for real-time inference control. Experiments show our approach establishes a superior Pareto-frontier for early exit. CUSUM achieves 63.06% accuracy with 11.1% token reduction, outperforming DEER and Dynasor by 3.28% and 4.36% in accuracy respectively. For test-time scaling, CUSUM-weighted voting consistently outperforms self-consistency.

Large Language Models often achieve strong performance by generating long intermediate chain-of-thought reasoning. However, it remains unclear when a model's final answer is actually determined during generation. If the answer is already fixed at an intermediate stage, subsequent reasoning tokens may constitute post-decision explanation, increasing inference cost and latency without improving correctness. We study the evolution of predicted answers over reasoning steps using forced answer completion, which elicits the model's intermediate predictions at partial reasoning prefixes. Focusing on Qwen3-4B and averaging results across all datasets considered, we find that predicted answers change in only 32% of queries. Moreover, once the final answer switch occurs, the model generates an average of 760 additional reasoning tokens per query, accounting for a substantial fraction of the total reasoning budget. Motivated by these findings, we investigate early stopping strategies that halt generation once the answer has stabilized. We show that simple heuristics, including probe-based stopping, can reduce reasoning token usage by 500 tokens per query while incurring only a 2% drop in accuracy. Together, our results indicate that a large portion of chain-of-thought generation is redundant and can be reduced with minimal impact on performance.