The Math Behind Betting Odds & Gambling

When we talk about the total pot size, remember that this also includes the uncalled bet made on the current street, as well as all the money in the pot from previous streets. Even if you have a betting payout calculator at your disposal, you wouldn’t be immune to the harmful effects of compulsive gambling. That is why we recommend you stick to the local regulations and norms concerning responsible gambling. The calculator will show your profit amount (“To Win”) as well as your payout amount (“To Pay”).

What is the role of bookmakers in calculating odds?

Goods odds depend on the betting market that the odds are available on, as some value can be found on certain selections that aren’t available with other bookmakers. You place 10 Doubles, 10 Trebles, five Four-Fold parlays and one Five-Fold parlay. The Canadian bet does not include singles, so at least two of parimatch your selections must be successful to receive a return on the bet.

Automating Betting Calculations with Excel Macros

American odds, or moneyline odds, work around $100 bets and use plus (+) and minus (-) signs. Math treats odds and probability as two different ways to show chance. Probability shows how likely something is as a percentage between 0 and 1. Odds show the ratio between something happening versus not happening. Our online calculators, converters, randomizers, and content are provided “as is”, free of charge, and without any warranty or guarantee. Each tool is carefully developed and rigorously tested, and our content is well-sourced, but despite our best effort it is possible they contain errors.

  • Typically written with a precision of three digits after the decimal point, decimal odds show the expected payout for every dollar wagered.
  • Horse racing odds are relatively simple to understand, but we’ve provided some examples to make it easy for bettors who are less experienced with understanding odds.
  • If you bet $10 on 100 Thieves and they win, you would receive a payout of $20 ($10 x 2.00).
  • Decimal odds already have your original stake built in, but many bettors forget this fact.
  • A parlay is a bet that combines two or more selections into a single wager that has a payout only when all parts win.
  • Triton One has just begun and at Pokercode, we have a group of young and exciting players attending the series, looking to win their first Triton trophy.

Betting odds is a payout ratio that has the house profit margin built into it. These all most likely mean 1 chance of winning out of 500 total possible outcomes. Therefore, in terms of odds, this means “1 to 499 odds for winning” which is exactly the same as “499 to 1 odds for losing.” Understanding horse betting payouts and how they work is a very useful tool to have in your box and can also help you make strategic and informed betting decisions. Hopefully, this now gives you an idea of how the payouts are calculated.

Each format has its own quirks, and Excel can handle all of them with the right approach. With bet combinations of this size, we would always recommend using an online betting calculator to look at the potential bet payouts. With single bets or win bets as they are also known, you’re betting purely on one outcome, the horse winning the race. Don’t panic though, we will also provide the details of online tools that do all the hard work for you. For those mathematicians amongst you that just love calculations, you’ll also get details of how to manually calculate the horse bet payouts.