Implementing effective caching strategies for large language models (LLMs) is crucial for reducing operational costs, improving response times, and enhancing scalability in AI applications. LLM caching involves storing and reusing previously computed responses to avoid redundant computations for repeated queries. There are two primary caching strategies: exact key caching, which offers fast retrieval for identical queries but is sensitive to input variations, and semantic caching, which handles reworded queries by matching their intent but may result in false positives. Design patterns such as single-layer and multi-layer caching systems, as well as retrieval-augmented generation (RAG)-based caching, offer various methods to optimize cache efficiency. Effective cache performance monitoring, such as optimizing cache hit rates and balancing cache size with memory usage, can be achieved using tools like Helicone, which provides real-time insights and analytics. By integrating these strategies and tools, developers can create more responsive and cost-effective LLM applications.