diff --git a/CHANGELOG.md b/CHANGELOG.md
index 7ad3aa9..31a194e 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,16 +1,14 @@
 ## [1.8.1](https://github.com/typelets/typelets-api/compare/v1.8.0...v1.8.1) (2025-10-16)
 
-
 ### Bug Fixes
 
-* resolve Redis Cluster CROSSSLOT error in cache deletions ([862d796](https://github.com/typelets/typelets-api/commit/862d796a684a45f7ca76affe8480633d8dc6220a))
+- resolve Redis Cluster CROSSSLOT error in cache deletions ([862d796](https://github.com/typelets/typelets-api/commit/862d796a684a45f7ca76affe8480633d8dc6220a))
 
 # [1.8.0](https://github.com/typelets/typelets-api/compare/v1.7.2...v1.8.0) (2025-10-16)
 
-
 ### Features
 
-* add comprehensive OpenAPI documentation and refactor routes ([5ca9cc6](https://github.com/typelets/typelets-api/commit/5ca9cc6397b8054c41a2be5575d7233757fc9a53))
+- add comprehensive OpenAPI documentation and refactor routes ([5ca9cc6](https://github.com/typelets/typelets-api/commit/5ca9cc6397b8054c41a2be5575d7233757fc9a53))
 
 ## [1.7.2](https://github.com/typelets/typelets-api/compare/v1.7.1...v1.7.2) (2025-10-15)
 
diff --git a/src/lib/cache.ts b/src/lib/cache.ts
index 2cd83fe..2475e0b 100644
--- a/src/lib/cache.ts
+++ b/src/lib/cache.ts
@@ -1,5 +1,7 @@
 import { Cluster, ClusterOptions } from "ioredis";
 import { logger } from "./logger";
+import { db, folders } from "../db";
+import { eq } from "drizzle-orm";
 
 let client: Cluster | null = null;
 
@@ -184,3 +186,102 @@ export async function deleteCachePattern(pattern: string): Promise<void> {
     );
   }
 }
+
+/**
+ * Recursively get all ancestor folder IDs for a given folder
+ * @param folderId - The folder ID to start from
+ * @returns Array of ancestor folder IDs (from immediate parent to root)
+ */
+async function getAncestorFolderIds(folderId: string): Promise<string[]> {
+  const ancestorIds: string[] = [];
+  let currentFolderId: string | null = folderId;
+
+  // Traverse up the hierarchy until we reach a root folder (parentId is null)
+  while (currentFolderId) {
+    const folder: { parentId: string | null } | undefined = await db.query.folders.findFirst({
+      where: eq(folders.id, currentFolderId),
+      columns: {
+        parentId: true,
+      },
+    });
+
+    if (!folder || !folder.parentId) {
+      break;
+    }
+
+    ancestorIds.push(folder.parentId);
+    currentFolderId = folder.parentId;
+  }
+
+  return ancestorIds;
+}
+
+/**
+ * Invalidate note counts cache for a user and all ancestor folders
+ * This should be called whenever notes are created, updated, deleted, or their properties change
+ * @param userId - The user ID
+ * @param folderId - The folder ID where the note resides (null for root level notes)
+ */
+export async function invalidateNoteCounts(userId: string, folderId: string | null): Promise<void> {
+  const cache = getCacheClient();
+  if (!cache) return;
+
+  try {
+    const cacheKeys: string[] = [];
+
+    // Always invalidate user's global counts (matches CacheKeys.notesCounts pattern)
+    cacheKeys.push(`notes:${userId}:counts`);
+
+    // If note is in a folder, invalidate that folder and all ancestors
+    if (folderId) {
+      // Invalidate the immediate folder (matches counts.ts line 89 pattern)
+      cacheKeys.push(`notes:${userId}:folder:${folderId}:counts`);
+
+      // Get and invalidate all ancestor folders
+      const ancestorIds = await getAncestorFolderIds(folderId);
+      for (const ancestorId of ancestorIds) {
+        cacheKeys.push(`notes:${userId}:folder:${ancestorId}:counts`);
+      }
+    }
+
+    // Delete all cache keys using pipeline for cluster compatibility
+    if (cacheKeys.length > 0) {
+      await deleteCache(...cacheKeys);
+      logger.debug("Invalidated note counts cache", {
+        userId,
+        folderId: folderId || "root",
+        keysInvalidated: cacheKeys.length,
+      });
+    }
+  } catch (error) {
+    logger.error(
+      "Failed to invalidate note counts cache",
+      {
+        userId,
+        folderId: folderId || "root",
+      },
+      error instanceof Error ? error : new Error(String(error))
+    );
+  }
+}
+
+/**
+ * Invalidate note counts cache when a note moves between folders
+ * Invalidates both old and new folder hierarchies
+ * @param userId - The user ID
+ * @param oldFolderId - The previous folder ID (null for root)
+ * @param newFolderId - The new folder ID (null for root)
+ */
+export async function invalidateNoteCountsForMove(
+  userId: string,
+  oldFolderId: string | null,
+  newFolderId: string | null
+): Promise<void> {
+  // Invalidate old folder hierarchy
+  await invalidateNoteCounts(userId, oldFolderId);
+
+  // Invalidate new folder hierarchy (if different from old)
+  if (oldFolderId !== newFolderId) {
+    await invalidateNoteCounts(userId, newFolderId);
+  }
+}
diff --git a/src/routes/folders/crud.ts b/src/routes/folders/crud.ts
index 60cf7c5..7b52928 100644
--- a/src/routes/folders/crud.ts
+++ b/src/routes/folders/crud.ts
@@ -4,7 +4,7 @@ import { HTTPException } from "hono/http-exception";
 import { db, folders, notes } from "../../db";
 import { createFolderSchema, updateFolderSchema, foldersQuerySchema } from "../../lib/validation";
 import { eq, and, desc, count, asc, isNull } from "drizzle-orm";
-import { getCache, setCache, deleteCache } from "../../lib/cache";
+import { getCache, setCache, deleteCache, invalidateNoteCounts } from "../../lib/cache";
 import { CacheKeys, CacheTTL } from "../../lib/cache-keys";
 import { logger } from "../../lib/logger";
 
@@ -140,9 +140,13 @@ crudRouter.post("/", zValidator("json", createFolderSchema), async (c) => {
     })
     .returning();
 
-  // Invalidate cache
+  // Invalidate folder list cache
   await deleteCache(CacheKeys.foldersList(userId), CacheKeys.folderTree(userId));
 
+  // Invalidate note counts cache for parent folder (or global if root-level)
+  // This ensures the counts endpoint reflects the new folder structure
+  await invalidateNoteCounts(userId, data.parentId || null);
+
   return c.json(newFolder, 201);
 });
 
@@ -188,9 +192,24 @@ crudRouter.put("/:id", zValidator("json", updateFolderSchema), async (c) => {
     .where(eq(folders.id, folderId))
     .returning();
 
-  // Invalidate cache
+  // Invalidate folder list cache
   await deleteCache(CacheKeys.foldersList(userId), CacheKeys.folderTree(userId));
 
+  // Invalidate note counts cache if folder moved between parents
+  const oldParentId = existingFolder.parentId;
+  const newParentId = "parentId" in data ? data.parentId || null : oldParentId;
+
+  if (oldParentId !== newParentId) {
+    // Folder moved - invalidate both old and new parent counts
+    await invalidateNoteCounts(userId, oldParentId);
+    if (newParentId !== oldParentId) {
+      await invalidateNoteCounts(userId, newParentId);
+    }
+  } else {
+    // Folder properties changed but didn't move - invalidate current parent
+    await invalidateNoteCounts(userId, oldParentId);
+  }
+
   return c.json(updatedFolder);
 });
 
@@ -256,9 +275,12 @@ crudRouter.delete("/:id", async (c) => {
       }
     });
 
-    // Invalidate cache
+    // Invalidate folder list cache
     await deleteCache(CacheKeys.foldersList(userId), CacheKeys.folderTree(userId));
 
+    // Invalidate note counts cache for parent folder (or global if root-level)
+    await invalidateNoteCounts(userId, existingFolder.parentId);
+
     return c.json({ message: "Folder deleted successfully" });
   } catch (error) {
     logger.error(
diff --git a/src/routes/notes/actions.ts b/src/routes/notes/actions.ts
index 99ee5c8..c1805fb 100644
--- a/src/routes/notes/actions.ts
+++ b/src/routes/notes/actions.ts
@@ -3,6 +3,7 @@ import { HTTPException } from "hono/http-exception";
 import { db, notes } from "../../db";
 import { eq, and } from "drizzle-orm";
 import { noteSchema, noteIdParamSchema } from "../../lib/openapi-schemas";
+import { invalidateNoteCounts } from "../../lib/cache";
 
 const actionsRouter = new OpenAPIHono();
 
@@ -56,6 +57,9 @@ actionsRouter.openapi(starNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache for the note's folder hierarchy
+  await invalidateNoteCounts(userId, existingNote.folderId);
+
   return c.json(updatedNote, 200);
 });
 
@@ -110,6 +114,9 @@ actionsRouter.openapi(restoreNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache for the note's folder hierarchy
+  await invalidateNoteCounts(userId, existingNote.folderId);
+
   return c.json(restoredNote, 200);
 });
 
@@ -171,6 +178,9 @@ actionsRouter.openapi(hideNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache for the note's folder hierarchy
+  await invalidateNoteCounts(userId, existingNote.folderId);
+
   return c.json(hiddenNote, 200);
 });
 
@@ -232,6 +242,9 @@ actionsRouter.openapi(unhideNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache for the note's folder hierarchy
+  await invalidateNoteCounts(userId, existingNote.folderId);
+
   return c.json(unhiddenNote, 200);
 });
 
diff --git a/src/routes/notes/crud.ts b/src/routes/notes/crud.ts
index 7e63c86..a66331c 100644
--- a/src/routes/notes/crud.ts
+++ b/src/routes/notes/crud.ts
@@ -12,6 +12,7 @@ import {
   notesQueryParamsSchema,
   noteIdParamSchema,
 } from "../../lib/openapi-schemas";
+import { invalidateNoteCounts, invalidateNoteCountsForMove } from "../../lib/cache";
 
 const crudRouter = new OpenAPIHono();
 
@@ -267,6 +268,9 @@ const createNoteHandler: RouteHandler<typeof createNoteRoute> = async (c) => {
     })
     .returning();
 
+  // Invalidate counts cache for the user and all ancestor folders
+  await invalidateNoteCounts(userId, validatedData.folderId ?? null);
+
   return c.json(newNote, 201);
 };
 
@@ -382,6 +386,18 @@ crudRouter.openapi(updateNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache - check if note moved between folders
+  const oldFolderId = existingNote.folderId;
+  const newFolderId = "folderId" in validatedData ? (validatedData.folderId ?? null) : oldFolderId;
+
+  if (oldFolderId !== newFolderId) {
+    // Note moved between folders - invalidate both hierarchies
+    await invalidateNoteCountsForMove(userId, oldFolderId, newFolderId);
+  } else {
+    // Note stayed in same folder - just invalidate current hierarchy
+    await invalidateNoteCounts(userId, oldFolderId);
+  }
+
   return c.json(updatedNote, 200);
 });
 
@@ -436,6 +452,9 @@ crudRouter.openapi(deleteNoteRoute, async (c) => {
     .where(eq(notes.id, noteId))
     .returning();
 
+  // Invalidate counts cache for the note's folder hierarchy
+  await invalidateNoteCounts(userId, existingNote.folderId);
+
   return c.json(deletedNote, 200);
 });
 
diff --git a/src/version.ts b/src/version.ts
index 3e9769a..ecb596d 100644
--- a/src/version.ts
+++ b/src/version.ts
@@ -1,2 +1,2 @@
 // This file is automatically updated by semantic-release
-export const VERSION = "1.8.1"
\ No newline at end of file
+export const VERSION = "1.8.1";