While Small Language Models (SLMs) have demonstrated promising performance on an increasingly wide array of commonsense reasoning benchmarks, current evaluation practices rely almost exclusively on the accuracy of their final answers, neglecting the validity of the reasoning processes that lead to those answers. To address this issue, we present ReTraceQA, a novel benchmark that introduces process-level evaluation for commonsense reasoning tasks. Our expert-annotated dataset reveals that in a substantial portion of instances (14-24%), SLMs provide correct final answers despite flawed reasoning processes, suggesting that the capabilities of SLMs are often overestimated by evaluation metrics that focus only on comparing the final answer with the ground truth. Indeed, we show that, when employing strong Large Language Models (LLMs) as automated judges for reasoning-aware evaluation rather than answer-only metrics, SLM performance drops significantly across all models and datasets, with scores decreasing by up to 25%.

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