Understanding the House Edge & Calculating Odds

house edge 1

How can you calculate your potential casino payouts? The RTP rate is always expressed as a percentage. To clarify, let’s look at an example. Online roulette games have an average RTP of around 97.3%, although this value can vary slightly depending on the version chosen.

Let’s assume you visit the live section of a non GamStop casino with a good payout rate and choose a roulette table with a 97% RTP. Typically, you won’t be alone at this table, but will share the game with other customers who are also placing bets and wagers of their own size. Find a casino not linked to GamStop.

For our example, we assume that a total of €100 is invested in a round. Statistically, €97 of this should be paid out to the players at the end when the ball stops in the wheel and the live dealer calls out the winning numbers. Chance decides which player wins how much.

If the game conforms to the statistics, €3 would remain in the online casino as a so-called profit margin. This money, also known as the house edge, is used by the portal operators to cover their running costs. For example, the rental fees for the games and the salaries of the croupiers and support staff.

No matter which game you choose, the calculation for your potential winnings remains the same. This applies to slots with high payouts, for example. In this category, the RTP rate varies considerably. However, a good average is around 96%. So, a €100 bet would be divided into €96 winnings and a €4 house edge.

RTP and house edge complement each other. An RTP of 96% means a house edge of 4%. The higher the RTP, the smaller the non GamStop casino’s edge.

What role does variance play in non GamStop casino payouts?

When you research the payout rate of a game, you’ll often find a second piece of information in addition to the RTP: the so-called variance or volatility. Simply put, this also refers to the frequency and amount of payouts for online casino games.

For example, you’ll find slots with low, medium, and high variance. A high-volatility online casino slot machine pays out less frequently. However, the winnings are quite high. With low-variance slots, you’ll hit winning combinations significantly more often, but they’ll have a lower multiplier.

Where can I find the payout ratios?

To decide whether a game is interesting for you and what stakes you’d like to play, you should find out about the winning potential before your first round. Reputable non GamStop casinos with good payout rates provide you with these details on a transparent information page that you can view at any time.

There are two options here. First, you should find an “i” button when you open each game. Clicking on it will open a catalog with all the relevant data about the game. For example, paylines, winning symbols, and, of course, the casino payout rate.

Secondly, you can often find the average value in the terms and conditions section of new non GamStop casinos. Reputable providers will provide you with information about the casino’s payout rates and which regulatory bodies verify fairness and compliance with legally prescribed RTP rates.

If you can’t find the relevant information, it doesn’t automatically mean you’ve encountered a dubious provider. In this case, you can always contact customer service and ask the staff for information. However, if you don’t receive adequate answers there either, you should exercise caution.

What is a good payout ratio?

Depending on which game category you’re interested in, the answer to the question of which non GamStop casinos offer high payouts can vary considerably. Fans of live dealer games can, on average, expect higher payout rates than customers who prefer classic slot machines.

It goes without saying that the casino’s overall payout rate only provides a vague indication of your potential winnings. The average is calculated by adding the RTP of all games and then dividing the result by the number of games.

The game portfolio may well still contain titles with RTP rates significantly below or above this value. Essentially, you need to find out what a good payout rate is for your favorite games. When you open a new game, you can compare these values and decide whether the payouts are fair.

Casino games with the best RTP rate at a glance:

Game CategoryRTP RateHouse Edge
Blackjack99.6%0.4%
Video Poker99.2%0.8%
Baccarat98.9%1.1%
Keno98%2%
European Roulette97.5%2.5%
Slots96.5%3.5%

Exception: Payout rate in non GamStop casinos

We mentioned in the introduction that non GamStop casinos with good payout rates shouldn’t fall below an average of 92%, as such values can no longer be considered fair. However, there is one exception where, given such an RTP rate, you shouldn’t assume that the offer is dubious. Quite the opposite.

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