diff --git a/apps/web/src/lib/yaml-to-json.test.ts b/apps/web/src/lib/yaml-to-json.test.ts
new file mode 100644
index 000000000..ef38a3baf
--- /dev/null
+++ b/apps/web/src/lib/yaml-to-json.test.ts
@@ -0,0 +1,244 @@
+import { describe, it, expect } from 'vitest';
+import { yamlToJson, yamlToJsonSafe, YamlParseError, isJsonSerializable } from './yaml-to-json';
+
+describe('yamlToJson', () => {
+  it('should parse simple YAML to JSON object', () => {
+    const yamlString = `
+name: "Test App"
+version: 1.0
+enabled: true
+`;
+
+    interface Config {
+      name: string;
+      version: number;
+      enabled: boolean;
+    }
+
+    const result = yamlToJson<Config>(yamlString);
+
+    expect(result).toEqual({
+      name: 'Test App',
+      version: 1.0,
+      enabled: true
+    });
+  });
+
+  it('should handle nested objects', () => {
+    const yamlString = `
+database:
+  host: localhost
+  port: 5432
+  credentials:
+    username: admin
+    password: secret
+`;
+
+    interface DatabaseConfig {
+      database: {
+        host: string;
+        port: number;
+        credentials: {
+          username: string;
+          password: string;
+        };
+      };
+    }
+
+    const result = yamlToJson<DatabaseConfig>(yamlString);
+
+    expect(result.database.host).toBe('localhost');
+    expect(result.database.port).toBe(5432);
+    expect(result.database.credentials.username).toBe('admin');
+  });
+
+  it('should handle arrays', () => {
+    const yamlString = `
+fruits:
+  - apple
+  - banana
+  - orange
+numbers:
+  - 1
+  - 2
+  - 3
+`;
+
+    interface ListConfig {
+      fruits: string[];
+      numbers: number[];
+    }
+
+    const result = yamlToJson<ListConfig>(yamlString);
+
+    expect(result.fruits).toEqual(['apple', 'banana', 'orange']);
+    expect(result.numbers).toEqual([1, 2, 3]);
+  });
+
+  it('should throw YamlParseError for invalid YAML', () => {
+    const invalidYaml = `
+name: "Test
+version: 1.0
+    invalid indentation
+`;
+
+    expect(() => yamlToJson(invalidYaml)).toThrow(YamlParseError);
+  });
+
+  it('should throw YamlParseError for non-string input', () => {
+    expect(() => yamlToJson(123 as any)).toThrow(YamlParseError);
+    expect(() => yamlToJson(null as any)).toThrow(YamlParseError);
+    expect(() => yamlToJson(undefined as any)).toThrow(YamlParseError);
+  });
+
+  it('should throw YamlParseError for empty string', () => {
+    expect(() => yamlToJson('')).toThrow(YamlParseError);
+    expect(() => yamlToJson('   ')).toThrow(YamlParseError);
+  });
+
+  it('should handle options parameter', () => {
+    const yamlString = `
+name: "Test App"
+version: 1.0
+`;
+
+    const result = yamlToJson(yamlString, {
+      filename: 'test.yaml'
+    });
+
+    expect(result).toEqual({
+      name: 'Test App',
+      version: 1.0
+    });
+  });
+
+  it('should throw YamlParseError for duplicate keys', () => {
+    const yamlWithDuplicates = `
+name: "First"
+name: "Second"
+`;
+
+    // js-yaml always throws for duplicate keys
+    expect(() => yamlToJson(yamlWithDuplicates)).toThrow(YamlParseError);
+  });
+});
+
+describe('isJsonSerializable', () => {
+  it('should return true for JSON-serializable values', () => {
+    expect(isJsonSerializable({})).toBe(true);
+    expect(isJsonSerializable([])).toBe(true);
+    expect(isJsonSerializable('string')).toBe(true);
+    expect(isJsonSerializable(123)).toBe(true);
+    expect(isJsonSerializable(true)).toBe(true);
+    expect(isJsonSerializable(null)).toBe(true);
+    expect(isJsonSerializable({ name: 'test', value: 42 })).toBe(true);
+  });
+
+  it('should return false for non-JSON-serializable values', () => {
+    expect(isJsonSerializable(undefined)).toBe(false);
+    expect(isJsonSerializable(() => {})).toBe(false);
+    expect(isJsonSerializable(Symbol('test'))).toBe(false);
+
+    // Circular reference
+    const circular: any = {};
+    circular.self = circular;
+    expect(isJsonSerializable(circular)).toBe(false);
+  });
+});
+
+describe('yamlToJsonSafe', () => {
+  it('should parse valid YAML that is JSON-serializable', () => {
+    const yamlString = `
+name: "Test App"
+version: 1.0
+settings:
+  debug: true
+  maxRetries: 3
+`;
+
+    interface Config {
+      name: string;
+      version: number;
+      settings: {
+        debug: boolean;
+        maxRetries: number;
+      };
+    }
+
+    const result = yamlToJsonSafe<Config>(yamlString);
+
+    expect(result).toEqual({
+      name: 'Test App',
+      version: 1.0,
+      settings: {
+        debug: true,
+        maxRetries: 3
+      }
+    });
+  });
+
+  it('should throw YamlParseError for invalid YAML', () => {
+    const invalidYaml = `
+name: "Test
+invalid: yaml
+`;
+
+    expect(() => yamlToJsonSafe(invalidYaml)).toThrow(YamlParseError);
+  });
+});
+
+describe('YamlParseError', () => {
+  it('should store original error', () => {
+    const originalError = new Error('Original error message');
+    const yamlError = new YamlParseError('YAML parse failed', originalError);
+
+    expect(yamlError.message).toBe('YAML parse failed');
+    expect(yamlError.name).toBe('YamlParseError');
+    expect(yamlError.originalError).toBe(originalError);
+  });
+
+  it('should be instanceof Error and YamlParseError', () => {
+    const yamlError = new YamlParseError('Test error', new Error());
+
+    expect(yamlError instanceof Error).toBe(true);
+    expect(yamlError instanceof YamlParseError).toBe(true);
+  });
+});
+
+// Type safety tests (these test TypeScript compilation)
+describe('Type Safety', () => {
+  it('should provide proper type inference', () => {
+    interface TestConfig {
+      name: string;
+      count: number;
+    }
+
+    const yaml = `
+name: "test"
+count: 42
+`;
+
+    const result = yamlToJson<TestConfig>(yaml);
+
+    // These should be properly typed
+    expect(typeof result.name).toBe('string');
+    expect(typeof result.count).toBe('number');
+
+    // TypeScript should catch these at compile time
+    // result.name = 123; // This would be a TypeScript error
+    // result.invalidProperty; // This would be a TypeScript error
+  });
+
+  it('should work with unknown type as default', () => {
+    const yaml = `
+unknown: "structure"
+dynamic: true
+`;
+
+    const result = yamlToJson(yaml); // No generic type specified
+
+    // Result should be typed as unknown
+    expect(result).toBeDefined();
+    expect(typeof result).toBe('object');
+  });
+});
diff --git a/apps/web/src/lib/yaml-to-json.ts b/apps/web/src/lib/yaml-to-json.ts
new file mode 100644
index 000000000..32dff8b6d
--- /dev/null
+++ b/apps/web/src/lib/yaml-to-json.ts
@@ -0,0 +1,126 @@
+import { load, type LoadOptions } from 'js-yaml';
+
+/**
+ * Error thrown when YAML parsing fails
+ */
+export class YamlParseError extends Error {
+  constructor(
+    message: string,
+    public readonly originalError: unknown
+  ) {
+    super(message);
+    this.name = 'YamlParseError';
+  }
+}
+
+/**
+ * Options for YAML to JSON conversion
+ */
+export interface YamlToJsonOptions {
+  /** Custom schema to use for parsing. Defaults to DEFAULT_SCHEMA */
+  schema?: LoadOptions['schema'];
+  /** Custom file name for error messages */
+  filename?: string;
+}
+
+/**
+ * Converts a YAML string to a JSON object with type safety
+ *
+ * @template T - The expected type of the parsed JSON object
+ * @param yamlString - The YAML string to parse
+ * @param options - Optional parsing configuration
+ * @returns The parsed object typed as T
+ * @throws {YamlParseError} When YAML parsing fails
+ *
+ * @example
+ * ```typescript
+ * interface Config {
+ *   name: string;
+ *   version: number;
+ * }
+ *
+ * const yaml = `
+ * name: "My App"
+ * version: 1.0
+ * `;
+ *
+ * const config = yamlToJson<Config>(yaml);
+ * // config is now typed as Config
+ * ```
+ */
+export function yamlToJson<T = unknown>(yamlString: string, options: YamlToJsonOptions = {}): T {
+  // Handle edge cases
+  if (typeof yamlString !== 'string') {
+    throw new YamlParseError('Input must be a string', new TypeError('Expected string input'));
+  }
+
+  if (yamlString.trim() === '') {
+    throw new YamlParseError('YAML string cannot be empty', new Error('Empty input'));
+  }
+
+  try {
+    const loadOptions: LoadOptions = {
+      schema: options.schema,
+      filename: options.filename
+    };
+
+    const result = load(yamlString, loadOptions);
+
+    // Ensure we got a valid result
+    if (result === undefined) {
+      throw new YamlParseError('YAML parsing resulted in undefined', new Error('Undefined result'));
+    }
+
+    return result as T;
+  } catch (error) {
+    if (error instanceof YamlParseError) {
+      throw error;
+    }
+
+    // Wrap js-yaml errors with our custom error
+    const errorMessage = error instanceof Error ? error.message : 'Unknown parsing error';
+    throw new YamlParseError(`Failed to parse YAML: ${errorMessage}`, error);
+  }
+}
+
+/**
+ * Type guard to check if a value is a valid JSON-serializable object
+ * Useful for runtime validation after YAML parsing
+ *
+ * @param value - The value to check
+ * @returns True if the value can be safely serialized to JSON
+ */
+export function isJsonSerializable(value: unknown): boolean {
+  try {
+    const result = JSON.stringify(value);
+    // JSON.stringify returns undefined for undefined values, functions, symbols
+    return result !== undefined;
+  } catch {
+    return false;
+  }
+}
+
+/**
+ * Safely converts YAML to JSON with additional validation
+ *
+ * @template T - The expected type of the parsed JSON object
+ * @param yamlString - The YAML string to parse
+ * @param options - Optional parsing configuration
+ * @returns The parsed and validated object typed as T
+ * @throws {YamlParseError} When YAML parsing or validation fails
+ */
+export function yamlToJsonSafe<T = unknown>(
+  yamlString: string,
+  options: YamlToJsonOptions = {}
+): T {
+  const result = yamlToJson<T>(yamlString, options);
+
+  if (!isJsonSerializable(result)) {
+    throw new YamlParseError(
+      'Parsed YAML contains non-JSON-serializable values',
+      new Error('Non-serializable content')
+    );
+  }
+
+  return result;
+}