api-ai-litellm

name	api-ai-litellm
description	LiteLLM proxy server setup, TypeScript client patterns via OpenAI SDK, model routing, fallbacks, load balancing, spend tracking, virtual keys, and production deployment

LiteLLM Proxy Patterns

Quick Guide: LiteLLM is an OpenAI-compatible proxy (AI gateway) that routes requests to 100+ LLM providers. TypeScript clients connect via the standard OpenAI SDK with baseURL pointed at the proxy. Configure models, fallbacks, load balancing, and budgets in config.yaml. Use provider/model-name format in litellm_params.model (e.g., anthropic/claude-sonnet-4-20250514). The model_name in config is the user-facing alias clients request. Virtual keys require PostgreSQL. Master key must start with sk-.

---

<critical_requirements>

CRITICAL: Before Using This Skill

All code must follow project conventions in CLAUDE.md (kebab-case, named exports, import ordering, import type, named constants)

(You MUST use the provider/model-name format in litellm_params.model -- e.g., anthropic/claude-sonnet-4-20250514, openai/gpt-4o, azure/my-deployment -- the provider prefix is how LiteLLM routes to the correct API)

(You MUST set model_name as the user-facing alias that clients request -- this is NOT the provider model ID, it is the name your TypeScript client passes as model)

(You MUST point the OpenAI SDK baseURL at the proxy URL (e.g., http://localhost:4000) and pass the proxy key as apiKey -- do NOT use provider API keys directly in client code)

(You MUST start master keys with sk- -- LiteLLM rejects master keys that do not follow this prefix convention)

(You MUST configure database_url pointing to PostgreSQL before using virtual keys, spend tracking, or team/user management -- these features require persistent storage)

</critical_requirements>

---

Auto-detection: LiteLLM, litellm, litellm_params, litellm_settings, LLM proxy, LLM gateway, model_list, master_key, virtual keys, model fallback, load balancing LLM, provider/model, anthropic/claude, openai/gpt, azure/, litellm --config, LITELLM_MASTER_KEY, LITELLM_SALT_KEY

When to use:

• Running a unified LLM gateway that routes to multiple providers (OpenAI, Anthropic, Azure, Bedrock, etc.)
• Configuring model fallbacks, load balancing, or routing strategies across deployments
• Managing API key access with virtual keys, per-key budgets, and rate limits
• Tracking spend across models, teams, users, and tags
• Deploying a self-hosted OpenAI-compatible proxy with Docker

Key patterns covered:

• Proxy server config.yaml structure (model_list, litellm_settings, router_settings, general_settings)
• TypeScript client setup via OpenAI SDK pointed at proxy
• Model routing with provider prefixes and user-facing aliases
• Fallback chains (regular, context window, content policy, default)
• Load balancing strategies (simple-shuffle, least-busy, usage-based, latency-based, cost-based)
• Virtual keys with budgets, rate limits, and model restrictions
• Spend tracking per key, user, team, and tag
• Docker Compose production deployment

When NOT to use:

• Calling a single LLM provider directly with no proxy layer -- use the provider's SDK directly
• Building a Python application that calls LiteLLM as a library -- this skill covers the proxy server + TypeScript client pattern
• When you need React-specific chat UI hooks -- use a framework-integrated AI SDK

---

Examples Index

• Core: Config & Client Setup -- config.yaml structure, TypeScript OpenAI SDK client, model routing, Docker deployment
• Routing & Reliability -- Fallbacks, load balancing, cooldowns, retries, priority routing
• Keys & Spend -- Virtual keys, budgets, rate limits, spend tracking, team management

---

Philosophy

LiteLLM Proxy is an AI gateway -- a single OpenAI-compatible endpoint that routes to 100+ LLM providers. TypeScript applications never talk to providers directly; they talk to the proxy using the standard OpenAI SDK.

Core principles:

1. Provider abstraction -- Client code uses a single baseURL and standard OpenAI SDK. Switching providers means changing config.yaml, not application code.
2. Two-layer naming -- model_name is what clients request (e.g., "claude-sonnet"). litellm_params.model is the actual provider routing (e.g., "anthropic/claude-sonnet-4-20250514"). This decouples client code from provider specifics.
3. Resilience via config -- Fallbacks, retries, load balancing, and cooldowns are all declared in config.yaml. No application-level retry logic needed.
4. Spend governance -- Virtual keys, per-key budgets, rate limits, and tag-based tracking give fine-grained cost control without changing client code.
5. OpenAI compatibility -- Any client, SDK, or tool that works with OpenAI's API works with LiteLLM. No custom SDK required.

When to use LiteLLM Proxy:

• You call multiple LLM providers and want a single API surface
• You need centralized spend tracking, budgets, and rate limiting
• You want model fallbacks and load balancing without client-side logic
• You need to distribute virtual API keys to teams with per-key controls

When NOT to use:

• Single-provider apps with no need for routing, budgets, or fallbacks -- use the provider SDK directly
• Python-only applications -- consider using LiteLLM as a library instead of a proxy
• You need sub-millisecond latency -- the proxy adds a network hop

---

Core Patterns

Pattern 1: Minimal config.yaml

The proxy needs a config.yaml with at least one model defined. model_name is client-facing; litellm_params.model is the provider route.

# config.yaml
model_list:
  - model_name: claude-sonnet # What clients request
    litellm_params:
      model: anthropic/claude-sonnet-4-20250514 # Provider/model route
      api_key: os.environ/ANTHROPIC_API_KEY # Never hardcode keys

  - model_name: gpt-4o
    litellm_params:
      model: openai/gpt-4o
      api_key: os.environ/OPENAI_API_KEY

Why good: Two-layer naming decouples clients from providers, os.environ/ syntax reads secrets from environment at runtime

# BAD: Missing provider prefix, hardcoded key
model_list:
  - model_name: claude-sonnet-4-20250514 # Using provider model ID as name
    litellm_params:
      model: claude-sonnet-4-20250514 # No provider prefix -- routing fails
      api_key: sk-ant-abc123 # Hardcoded API key

Why bad: Without anthropic/ prefix, LiteLLM cannot route to the correct provider; hardcoded keys are a security risk; using the provider model ID as model_name couples clients to provider naming

See: examples/core.md for complete config with general_settings, Docker setup

---

Pattern 2: TypeScript Client via OpenAI SDK

Connect to the proxy using the standard OpenAI SDK. Point baseURL at the proxy, use the proxy key as apiKey.

// lib/llm-client.ts
import OpenAI from "openai";

const PROXY_URL = "http://localhost:4000";

const client = new OpenAI({
  baseURL: PROXY_URL,
  apiKey: process.env.LITELLM_API_KEY, // Virtual key or master key
});

export { client };

// usage.ts
import { client } from "./lib/llm-client.js";

const completion = await client.chat.completions.create({
  model: "claude-sonnet", // model_name from config.yaml, NOT provider model ID
  messages: [
    { role: "system", content: "You are a helpful assistant." },
    { role: "user", content: "Explain TypeScript generics." },
  ],
});

console.log(completion.choices[0].message.content);

Why good: Standard OpenAI SDK, no custom dependencies; model name matches config.yaml model_name; proxy key keeps provider keys server-side

// BAD: Using provider model ID, provider API key
const client = new OpenAI({
  baseURL: "http://localhost:4000",
  apiKey: process.env.ANTHROPIC_API_KEY, // Wrong -- use proxy key
});

const completion = await client.chat.completions.create({
  model: "anthropic/claude-sonnet-4-20250514", // Wrong -- use model_name alias
  messages: [{ role: "user", content: "Hello" }],
});

Why bad: Provider API key bypasses proxy auth and virtual key controls; using provider model ID instead of alias couples client to provider naming and bypasses proxy routing logic

See: examples/core.md for streaming, metadata tagging

---

Pattern 3: Fallback Chains

Configure model fallbacks so requests automatically retry on a different model when the primary fails.

# config.yaml
model_list:
  - model_name: claude-sonnet
    litellm_params:
      model: anthropic/claude-sonnet-4-20250514
      api_key: os.environ/ANTHROPIC_API_KEY

  - model_name: gpt-4o
    litellm_params:
      model: openai/gpt-4o
      api_key: os.environ/OPENAI_API_KEY

litellm_settings:
  num_retries: 2 # Retries per model before fallback
  fallbacks: [{ "claude-sonnet": ["gpt-4o"] }] # General fallback chain
  context_window_fallbacks: [{ "gpt-4o": ["claude-sonnet"] }] # Context overflow fallback
  default_fallbacks: ["gpt-4o"] # Catch-all for any model failure

Why good: Fallbacks use model_name aliases (not provider IDs), ordered chains tried sequentially, separate chains for context overflow vs general errors

See: examples/routing.md for content policy fallbacks, combining with load balancing

---

Pattern 4: Load Balancing Across Deployments

Multiple entries with the same model_name create a load-balanced group. The proxy distributes requests using the configured strategy.

model_list:
  - model_name: gpt-4o
    litellm_params:
      model: azure/gpt-4o-eastus
      api_base: https://eastus.openai.azure.com/
      api_key: os.environ/AZURE_EASTUS_KEY
      rpm: 100 # Requests per minute for this deployment

  - model_name: gpt-4o
    litellm_params:
      model: azure/gpt-4o-westus
      api_base: https://westus.openai.azure.com/
      api_key: os.environ/AZURE_WESTUS_KEY
      rpm: 100

router_settings:
  routing_strategy: usage-based-routing # Route to deployment with lowest RPM/TPM usage
  num_retries: 2
  timeout: 30

Why good: Same model_name across entries creates automatic load balancing, rpm/tpm limits per deployment enable usage-aware routing

See: examples/routing.md for all five routing strategies, priority routing with order

---

Pattern 5: Virtual Keys with Budgets

Virtual keys let you distribute access with per-key budgets, rate limits, and model restrictions. Requires PostgreSQL.

# config.yaml
general_settings:
  master_key: YOUR_API_KEY # Must start with sk-
  database_url: os.environ/DATABASE_URL # PostgreSQL required

# Generate a virtual key via API
curl 'http://localhost:4000/key/generate' \
  -H 'Authorization: Bearer YOUR_API_KEY' \
  -H 'Content-Type: application/json' \
  -d '{
    "models": ["claude-sonnet", "gpt-4o"],
    "max_budget": 50.0,
    "duration": "30d",
    "metadata": {"team": "backend", "project": "search"}
  }'
# Returns: { "key": "YOUR_API_KEY", ... }

Why good: Per-key model restrictions, budget caps, and expiry; metadata enables tag-based spend tracking; master key authentication protects key generation

See: examples/keys-and-spend.md for team management, spend queries, rate limit tiers

---

Pattern 6: Spend Tracking with Tags

Attach metadata tags to requests for granular cost attribution. The proxy tracks spend automatically per key, user, team, and tag.

// Tag requests for cost attribution
const completion = await client.chat.completions.create({
  model: "claude-sonnet",
  messages: [{ role: "user", content: "Summarize this document." }],
  // LiteLLM-specific: pass metadata for spend tracking
  metadata: {
    tags: ["project:search", "team:backend"],
    trace_user_id: "user-123",
  },
} as any); // metadata is a LiteLLM extension, not in OpenAI types

Why good: Tags enable cost attribution by project, team, or feature without changing model routing; cost appears in x-litellm-response-cost response header

When to use: When you need cost visibility across teams, projects, or features

See: examples/keys-and-spend.md for querying spend by tag, user, and team

---

<decision_framework>

Decision Framework

Do You Need a Proxy?

Do you call multiple LLM providers?
+-- YES -> LiteLLM Proxy adds value (unified API, routing, fallbacks)
+-- NO -> Do you need budgets, rate limits, or virtual keys?
    +-- YES -> LiteLLM Proxy (governance layer)
    +-- NO -> Do you need fallbacks or load balancing?
        +-- YES -> LiteLLM Proxy (reliability layer)
        +-- NO -> Use the provider SDK directly (simpler)

Which Routing Strategy?

What is your priority?
+-- Even distribution      -> simple-shuffle (default)
+-- Minimize latency       -> latency-based-routing
+-- Respect rate limits     -> usage-based-routing
+-- Minimize cost           -> cost-based-routing
+-- Handle concurrent load  -> least-busy

Virtual Keys vs Master Key Only

Do you have multiple teams or users?
+-- YES -> Virtual keys (per-team budgets, model restrictions)
|   Requires: PostgreSQL database
+-- NO -> Do you need spend tracking?
    +-- YES -> Virtual keys (even for single user, enables spend logs)
    |   Requires: PostgreSQL database
    +-- NO -> Master key only (simplest setup, no database needed)

</decision_framework>

---

<red_flags>

RED FLAGS

High Priority Issues:

• Missing provider prefix in litellm_params.model (e.g., claude-sonnet-4-20250514 instead of anthropic/claude-sonnet-4-20250514) -- proxy cannot route without the prefix
• Hardcoding provider API keys in config.yaml instead of using os.environ/VAR_NAME -- security breach risk
• Using provider model IDs as model_name -- couples all clients to provider naming, breaks when you switch providers
• Master key not starting with sk- -- LiteLLM silently rejects it
• Using virtual keys without a PostgreSQL database_url -- key generation fails

Medium Priority Issues:

• Not setting num_retries in litellm_settings -- defaults to 0, no retries on transient failures
• Confusing model_name (client-facing alias) with litellm_params.model (provider route) -- most common config mistake
• Not setting rpm/tpm on deployments when using usage-based-routing -- routing strategy has no data to work with
• Missing LITELLM_SALT_KEY in production -- virtual key credentials stored without encryption

Common Mistakes:

• Passing anthropic/claude-sonnet-4-20250514 as the model parameter in TypeScript client code -- use the model_name alias instead
• Expecting metadata field to be typed in OpenAI SDK -- it is a LiteLLM extension, requires as any or extra_body
• Setting fallbacks using provider model IDs instead of model_name aliases -- fallbacks reference model names, not provider routes
• Forgetting that config.yaml changes require proxy restart (or use the /config/update API endpoint)

Gotchas & Edge Cases:

• The os.environ/ syntax in config.yaml (no $ prefix) is LiteLLM-specific -- not standard YAML environment variable substitution
• model_name matching is exact -- "claude-sonnet" and "Claude-Sonnet" are different models
• When using default_fallbacks, they do NOT apply to ContentPolicyViolationError or ContextWindowExceededError -- use specialized fallback types for those
• The proxy adds a network hop -- expect 5-20ms additional latency compared to direct provider calls
• rpm/tpm limits in config are per-deployment, not per-model-group -- a model group with 3 deployments at rpm: 100 each gets 300 RPM total
• Virtual key spend tracking is eventually consistent -- the spend field on a key may lag a few seconds behind actual usage
• The /v1/ prefix on endpoints is optional -- both http://localhost:4000/chat/completions and http://localhost:4000/v1/chat/completions work
• Streaming through the proxy works transparently -- no special configuration needed on the proxy side
• The LiteLLM admin UI is available at http://localhost:4000/ui when the proxy is running

</red_flags>

---

<critical_reminders>

CRITICAL REMINDERS

All code must follow project conventions in CLAUDE.md (kebab-case, named exports, import ordering, import type, named constants)

(You MUST use the provider/model-name format in litellm_params.model -- e.g., anthropic/claude-sonnet-4-20250514, openai/gpt-4o, azure/my-deployment -- the provider prefix is how LiteLLM routes to the correct API)

(You MUST set model_name as the user-facing alias that clients request -- this is NOT the provider model ID, it is the name your TypeScript client passes as model)

(You MUST point the OpenAI SDK baseURL at the proxy URL (e.g., http://localhost:4000) and pass the proxy key as apiKey -- do NOT use provider API keys directly in client code)

(You MUST start master keys with sk- -- LiteLLM rejects master keys that do not follow this prefix convention)

(You MUST configure database_url pointing to PostgreSQL before using virtual keys, spend tracking, or team/user management -- these features require persistent storage)

Failure to follow these rules will produce misconfigured proxies with broken routing, security issues, or missing spend data.

</critical_reminders>