I love that line 😂😂 - might have to steal it! "No thanks, I'm sweet enough" is the perfect sassy sugar comeback.

Sounds like you and lily have a great system going. It's great you're setting such mindful habit for her from an early age. One sweet a day is super reasonable (and yes, ketchup deserves its own exception category).
Props to you for making most of your food - that's real dedication.