Sports Betting Odds Explained


American Odds, Decimal Odds, and Fractional Odds Explained

American Odds Explained

American Odds have either a positive (+) value or a negative (-) value. American Odds also have a number to the right of the (+) or (-) sign.

A negative (-) sign indicates that in order to win $100, you must risk more than $100. For our example we will use: BAL Ravens -110.

american odds explained

American Odds- In this Scenario, both teams are considered “equal” at -110 odds.

How much more than $100 must you risk? That’s where the number (110 in our example) to the right of the sign comes in. What this number (-110) means is that if you wish to win $100 in profit you must risk $110. If you win a wager with -110 odds on a $110 bet you will win $100 profit, plus your bet back, for a total return of $210.

No matter what the number on the right may be, if you see a (-) sign before the number it means you must risk more than you can win in profit, (remember- you always get your bet back if you win, plus your winnings on the wager.

($110 wagered + $100 winnings = $210 total return)

 A positive (+) sign indicates that if you risk $100 you will win more than $100. For our example we will use: Team B +105.

How much more than $100 will you win? The number shown next to the (+) sign is the amount, in profit, you will win if you risk $100.

In our case, this number is +105. This number means if you risk $100, you will win $105 in profit, for a total return of $205. No matter the number to the right of the (+) sign, you will always win more than your wager (if your wager wins).

$100 wagered + $105 winnings = $205 total return

Regardless of the numbers to the right of either the (-) or (+) sign, a (-) means you will always risk more than you can win (in profit), and a (+) sign means you will always win more than you risk, (in profit).

Note: As you can see, American Odds emphasize on $100 wagers. Obviously, not everybody is wagering $100 at a time. Even if you break it down into $10 wagers, not everyone is wagering $10 either. For that reason, we do not recommend beginners to use American Odds. As you will see below, decimal odds are much easier to understand and to calculate regardless of the amount of your wager.

 

 

Decimal Odds Explained

Decimal odds are very simple to understand. Example: Team A : 1.95

The first digit listed (“1″, in our example) indicates that you will always have to risk more than you can win (in profit). The “1” resembles a (-) sign in American Odds: {There is NO (+) or ( –) Sign in Decimal Odds}. If the first number is less than“2”, you will have to risk more than you can win, in profit. The numbers after the decimal place (“95” in our example) , are what we use to calculate exactly how much any given wager will pay. Remember, our first digit (“1″) means you will win less money than you wager. Since you are winning less than even money, a $10 wager would win you $9.50 in profit. $10 x 1.95 = $19.50.

The calculation for total return is as follows: Wager x odds = total return. For our example was a $10 with odds of 1.95.

Remember your Total return = wager + winnings. To calculate only the profit on your wager, subtract your wager from the total return.

wager($10) multiplied by odds (1.95) = $19.50 Total Return

Total Return (19.50) – Wager ($10) = $9.50 Total Profit.

Another way to calculate the total profit is to multiply your wager by the odds, however use the digit prior to your first digit (“1′ in our example), numerically. This sounds complicated but it simply means if the odds are 1.95, you substitute the “1″ for a “0″.

Using the same $10 bet and the same odds the calculation is:

risk $10 x0.95 = $9.50 Total Profit

Now, for numbers above “1″. A first digit of “2″ indicates at least an even money wager. “2.00″ is an even money wager (equal to +100 in American Odds). If your first digit is “2”, you are winning even money plus. Ex: Odds 2.25

The calculation for odds of 2.25 would be:

wager ($10) multiplied by odds (2.25) = $22.50 total return

If you see a “3” as your first digit, then you are winning DOUBLE YOUR MONEY on a winning wager.

Ex: $10 x 3.00= $30.00 total return, minus $10 wager = $20 profit (double your wager)

Simply Use the above calculation for any wager amount and any decimal odds and you can easily calculate your total return!

How to convert American Odds to Decimal Odds

Formulas for converting American Odds to Decimal Odds

Fractional Odds Explained

Listed as a fraction, fractional odds display the amount a bettor will win in Total Profit (or Net Profit).

5 To 1 (5/1 Odds). For our first example we will use a $10 wager. Simply multiply the numerator (“5″) by the total wager ($10). A winning wager pays a Total (Net) Profit of $50. Since this is the total net profit and you receive your winning bet back, your total return is $60.

If the denominator is not “1”, (example: 20/23 odds), simply multiply your wager by the numerator (20), and divide that number by the denominator (23). ($100 wager x 20 = $2000 / 23= $86.95 Net Profit)

Remember you are calculating the profit only. Add your wager to the net profit for your total return. (Example: $86.95 net profit + $100 wager = $186.95 total return)

Again, use the same formula no matter the fractional odds and you will be able you calculate your return!

American Odds are mainly used in (you guessed it) America! You will find these odds posted at any Las Vegas Sports Book.

Decimal Odds are used mainly in Canada and Europe.

Fractional Odds are used for horse racing, and many other events with a large field of participants (golf, racing etc)

Fortunately, most online sports books allow you to choose which odds you want to display.