CompactRAG: Reducing LLM Calls and Token Overhead in Multi-Hop Question Answering

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Hauptverfasser: Yang, Hao, Yang, Zhiyu, Zhang, Xupeng, Wei, Wei, Zhang, Yunjie, Yang, Lin
Format: Preprint
Veröffentlicht: 2026
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author Yang, Hao
Yang, Zhiyu
Zhang, Xupeng
Wei, Wei
Zhang, Yunjie
Yang, Lin
author_facet Yang, Hao
Yang, Zhiyu
Zhang, Xupeng
Wei, Wei
Zhang, Yunjie
Yang, Lin
contents Retrieval-augmented generation (RAG) has become a key paradigm for knowledge-intensive question answering. However, existing multi-hop RAG systems remain inefficient, as they alternate between retrieval and reasoning at each step, resulting in repeated LLM calls, high token consumption, and unstable entity grounding across hops. We propose CompactRAG, a simple yet effective framework that decouples offline corpus restructuring from online reasoning. In the offline stage, an LLM reads the corpus once and converts it into an atomic QA knowledge base, which represents knowledge as minimal, fine-grained question-answer pairs. In the online stage, complex queries are decomposed and carefully rewritten to preserve entity consistency, and are resolved through dense retrieval followed by RoBERTa-based answer extraction. Notably, during inference, the LLM is invoked only twice in total - once for sub-question decomposition and once for final answer synthesis - regardless of the number of reasoning hops. Experiments on HotpotQA, 2WikiMultiHopQA, and MuSiQue demonstrate that CompactRAG achieves competitive accuracy while substantially reducing token consumption compared to iterative RAG baselines, highlighting a cost-efficient and practical approach to multi-hop reasoning over large knowledge corpora. The implementation is available at GitHub.
format Preprint
id arxiv_https___arxiv_org_abs_2602_05728
institution arXiv
publishDate 2026
record_format arxiv
spellingShingle CompactRAG: Reducing LLM Calls and Token Overhead in Multi-Hop Question Answering
Yang, Hao
Yang, Zhiyu
Zhang, Xupeng
Wei, Wei
Zhang, Yunjie
Yang, Lin
Computation and Language
Artificial Intelligence
Retrieval-augmented generation (RAG) has become a key paradigm for knowledge-intensive question answering. However, existing multi-hop RAG systems remain inefficient, as they alternate between retrieval and reasoning at each step, resulting in repeated LLM calls, high token consumption, and unstable entity grounding across hops. We propose CompactRAG, a simple yet effective framework that decouples offline corpus restructuring from online reasoning. In the offline stage, an LLM reads the corpus once and converts it into an atomic QA knowledge base, which represents knowledge as minimal, fine-grained question-answer pairs. In the online stage, complex queries are decomposed and carefully rewritten to preserve entity consistency, and are resolved through dense retrieval followed by RoBERTa-based answer extraction. Notably, during inference, the LLM is invoked only twice in total - once for sub-question decomposition and once for final answer synthesis - regardless of the number of reasoning hops. Experiments on HotpotQA, 2WikiMultiHopQA, and MuSiQue demonstrate that CompactRAG achieves competitive accuracy while substantially reducing token consumption compared to iterative RAG baselines, highlighting a cost-efficient and practical approach to multi-hop reasoning over large knowledge corpora. The implementation is available at GitHub.
title CompactRAG: Reducing LLM Calls and Token Overhead in Multi-Hop Question Answering
topic Computation and Language
Artificial Intelligence
url https://arxiv.org/abs/2602.05728