How Do Gambling Odds Work (American, Fractional, Decimal)

How Do Gambling Odds Work

After such a long time participating yourself into the gambling world, do you know how do gambling odds work? The betting market is full with bonuses, promotions, and features that aim to attract new players to register. 

However, in actuality, what will make or break you is your betting odds and the price you receive from the sportsbook. In this article, we will look at how the betting odds will work and how to properly figure out its meaning. This will help you increase your ability in gambling, so keep reading!

What are Betting Odds Actually? 

Odds in Betting Definition
Odds in Betting Definition

Before we explain how do gambling odds work, let’s start from the basic definition first. They are used for two simple reasons: the probability for that section and to highlight the returns for the bettor. There are multiple methods that odds can be revealed that include decimal, fractional, and American styles. 

Let’s take an example, an even money bet will be +100 American, 2.0 Decimal, and 1/1 (Evens) in fractional. The odds will show the probability that the best e-wallet Casino Malaysia considers the result that will occur. One of basic examples we can use for this will be a simple coin toss.

There will only be 2 results of a coin toss, heads, and tails. The probability of landing on each is 50/50. Then, the bookmaker will give the odds of Even money or +100/2.0 based on what style was being used. However, there is a caveat to this, which involves the betting site’s cut, generally referred to as “Juice”. 

A small cost is charged on each bet that means for a market like a coin toss, you will never get even money and instead get just shy of that takes into account their cut. Now, let’s move to how do gambling odds work. 

How Do Gambling Odds Work for You?

Online sports betting odds come in 3 different styles. We have compiled these below explaining how do gambling odds work for you with a real example. Here they are you should know:

1. How American Odds Work

How do gambling odds work in American format are displayed as a positive or negative number. In positive numbers, the amount of money you will have if you make a $100 bet. Meanwhile, the negative number is the amount of money you have to bet to make a $100 winning. 

Some bookmakers will include both positive and negative odds. In this case, the negative odds are the favorite and more likely of winning. With this betting odds and bookmakers where there are online positive odds, the lowest number is the favorite and will work up from that. 

American Odds Example
American Odds Example

From the example above, you can see the upcoming NBA game between the Chicago Bulls and Charlotte Hornets. There are 2 sets of odds: for spread betting and for the moneyline. 

As you can see, the spread is set at -150 for an +/- 10.5 line. It means that you must bet $105 to make a $100 win. In addition, the moneyline odds are -500 for the Bulls to win outright ($500 bet needed to make a $100 winning) and +375 for the Hornets to win ($375 winning for every 100 bet). 

It is important to remember that you don’t need to bet $100 or more for these bets, however, it is the easiest way to work things out on how do gambling odds work with American style. If you are to bet just $10 on the Hornets to win at +375, then your returns will be $37.50. Those underdog odds might prove value. 

2. How Fractional Odds Work

The next how do gambling odds work with Fractional style, they are used more commonly in the UK and are represented as just that, a fraction. How to read the betting odds like these is very simple as the right column is the amount you must bet to win the figure in the left column. 

For instance, if you have odds of 5/1, so for every 1 unit bet, you will win 5 units. If you decide 10 units, you will win 50 units, and so on. There will be times when the number on the right is higher than the left. If this happens, this is what is called odds-on. For instance, this may be 8/13, where you will need to bet 13 units to win 8. 

Fractional Odds Example
Fractional Odds Example

The example above comes from an upcoming NBA game between Oklahoma City Thunder and the Indiana Pacers. To know more how do gambling odds work with fractional style, the spread of this match is at +/- 2.5 is priced at 10/11, that is just worse than even money. 

Moreover, the moneyline bet is 13/20 for the Thunder to win and 5/4 for the Pacers to win. This will highlight that the Thunder are better  to win the game outright. One thing you should remember with the fractional odds is that it will not include your stake back. 

Therefore, if you bet $10 at odds of 5/1, you will win $50 from the bet as winning, plus your $10 original stake, for a total of $60.

3. How Decimal Odds Work

How do gambling odds work with decimal style are used across Asia and Europe. These odds, which indicate your total returns per unit wagered, are displayed as a decimal, as the name implies. 

For instance, if you have odds of 4.0 so for every 1 unit staked you will get a return of 4 units. With decimal odds, you will need to remember that this is the total return and includes the first bet. Therefore, this will be a breakdown of 3 units of winning and 1 unit from the first bet. 

Decimal Odds Example
Decimal Odds Example

From the above example, you can see a Man City win 1.61, a Liverpool win at 5.00m and the draw at 4.20. If you bet $10 on each, it is simple to work out the return in a decimal style. These will be $16.10, $50, and $42, respectively, 


Now that you have an understanding of three most common formats on how do gambling odds work. Yes, all that is left to do to become a master is “practice”. Soon after, you will be able to glance at the odds and immediately know how much you will win with the bets of many sizes in a casino game. 


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