Systems and methods are provided for optimizing language models for in-domain applications through an iterative, joint-modeling approach that expresses training material as alternative representations of higher-level tokens, such as named entities and carrier phrases. From a first language model, an in-domain training corpus may be represented as a set of alternative parses of tokens. Statistical information determined from these parsed representations may be used to produce a second (or updated) language model, which is further optimized for the domain. The second language model may be used to determine another alternative parsed representation of the corpus for a next iteration, and the statistical information determined from this representation may be used to produce a third (or further updated) language model. Through each iteration, a language model may be determined that is further optimized for the domain.