It would be useful to learn how to calculate odds if you want to start betting on sports. Here you have everything about betting odds explained.
Every punter should know how to read betting odds on betting sites. With a wide variety of online sportsbooks, there are several types of odds to learn about. In this guide, you have everything about odds explained. Learn about all types of odds that exist, how to understand and calculate them. Also, you can check the best online sportsbook deals to find the latest betting bonuses you can use at sportsbooks.
What are betting odds?
Betting odds are the ratio that shows the likelihood of a certain outcome of events to happen. Besides it, they also show the ratio of possible winnings to the stake. Odds are set by betting sites and can have different forms or types.
Types of odds
There are three types of odds: American, Decimal, and Fractional. Depending on the punter’s location, he may find different odds of different forms. What are the main differences between these types of odds?
American odds are mostly used by American sportsbooks. Also known as moneyline odds, they are presented as a number with a plus or minus in front of it (+200, +50, -300, -200). As a rule, they are based on winning $100 for a given wager.
Decimal odds show the amount that is won for every $1 that punters bet. Supposedly, the odds are 5.00 on a certain team to win. It means that the payout is $500 for every $100 you wager. This type of odds is popular in Europe, Australia, and Canada.
Fractional odds are the UK and Ireland’s favorite. They show up as fractions (e.g. 2/1 or 2:1) and represent a net total that the punter will get relative to the stake. Also, they are considered as the most difficult to read and calculate.
How to calculate odds of different types
There are several ways to learn how to calculate odds and your potential profit. The first and the easiest one is to use special programs or websites like Omni Calculator, Action Network, or any other betting calculator you can find online. With the help of the calculator, you can convert one type of odds to another and calculate your winning in different currencies.
Another way to calculate odds is the manual one. If there is no time or opportunity to use a calculator, you can calculate them by yourself. Scroll down to read how to calculate betting odds of all types.
- American odds. As we have already mentioned, they are based on winning $100 for a given bet. To figure out what your profit can be, pay attention to the minus/plus sign. The odds for underdogs have + and represent the money you can win for every $100 risked. So, to win from odds of +130, place a $100 bet to get $230 ($130 and your $100). In their turn, odds for favorites have – (e.g. -130 represents a win of $100 for every $145 you wager).
- Decimal odds. Decimals are the easiest odds to calculate because all you have to do is multiply the stake by the odds. For instance, you will get $15 for a $1 bet on 15.00 odds; $30 for a $1 bet on 30.00 odds and so on.
- Fractional odds. These odds are the most difficult to understand and that’s why they are rarely used by the bookies. To calculate winnings on fractional odds, you need to multiply your wager by the top number and then divide the result by the bottom number. E.g. a $10 bet at 6/2 odds is (10 * 6) / 2, which is $30. So, a $10 bet at 2/6 odds is (10 * 2) / 6, which is a bit more than $3.
