History of Sports Betting

Gambling was legalized in Nevada in 1931, but race and sports betting remained largely the
province of illegal bookies or small stand-alone legal (or semi-legal) "turf clubs," like the Derby
and Saratoga clubs owned by Jackie Guahan and the Hollywood Horse and Sports Book, owned
by Jimmy "the Greek" Snyder, some of which were highly lucrative affairs -- Jimmy the Greek
was allegedly making $2 million a week in the mid-'50s from his Vegas Turf and Sports Club.

In 1951 however, reacting to a groundswell of popular opposition to all the illegal sports
gambling outside of Nevada, the federal government slapped a 10% tax on Nevada's legal sports
books, which simultaneously regulated the industry and drove a lot of the legitimate operators
either out of business or into the untaxed underground.

No one with a brain was playing at that rate, so bookmakers and bettors worked around it. Bets
were written for 10 percent of what the actual cash transaction was. For example, a bet might be
for $5,500 to win $5,000, but the ticket — if anyone even bothered to write one out — would be
for $55 to win $50. Oddsmaker Roxy Roxborough says that the Churchill Downs sports book
used to put a little "r" next to the amount written on the ticket. That meant the bet was 10 times
the amount written down.

It took two decades for the federal government to relax the tax on sports betting; on October 15,
1974, it became a more palatable 2%. Prior to that change, the casinos did not want to touch race
and sports betting. Obviously, their edge was way too low to fade that kind of a tax burden.

Following the repeal of the onerous 10%, Jackie Guahan opened the first sports book inside a
casino at the Union Plaza in 1975, overseen by legendary oddsmaker Bob Martin.

The following year, the prototype for the modern race and sports book was pioneered by
notorious bookmaker Frank "Lefty" Rosenthal at the Stardust. Lefty's plush book featured six
giant TV screens with seating for 300 and it has been the model for Las Vegas race and sports
books ever since.

On January 1, 1983, the tax on sports betting was further cut to 0.25%, making it a much more
attractive proposition to Las Vegas resort-casinos, most of which now have race and sports
books, whether their own or an outside franchise. Even though the casinos' edge remains low,
sports betting is seen as a strong draw that gets people in the door, where they will hopefully
partake in some of a property's more profitable offerings.

Race & Sports Book Description

This position requires exceptional guest service skills. Ideal applicant must be able to interact
with guests, answer questions, and provide general information about the Race & Sportsbook
betting process. Must have the ability to work in a fast-paced environment and remain calm
under pressure. Previous cash handling and Race & Sportsbook experience preferred. Must have
ability to stand and/or walk for long periods of time.
Processes transactions of betting slips in accordance with governing regulations. Transactions
include, but are not limited to, the selling/cashing of tickets, make change, cash checks, and
redemption of tickets.

 Creates wagering tickets and cashes tickets for guests

 Collects appropriate amount of money from the guest for wagers and makes the correct
change
 Assists guests with questions regarding wagering and how to use the self-betting
terminals
 Verifies and balances drawer funds at beginning and end of shift. Safeguards funds
 Maintains assigned window in a neat, organized, and professional manner
 Maintains knowledge of property information, including marketing promotions
 Provides superior guest service to all guests
 Removes, records, and turns in amount of cash in register at end of shift, with necessary
paperwork
 Ensures compliance with the federal currency transaction reporting requirements

Operations Assistant - Race & Sports Book

$32K-$57K 
Easy Apply
MAJOR FOCUS:
Provide administrative support and assistance with all operational aspects of Race & Sports
Book.

Duties and Responsibility:

Perform all aspects of the Race & Sports Book office procedures not limited to the following:
Opening procedures – wagering machines, programs, tip sheets, odds sheets, sports information
sheets, channel assignments for racing and sports, dissemination of digital sports information,
etc., picking up opening balance for office


Closing procedures – close all machines, complete end-of-day reports, balance cash,
return balance, transfer patron tracking information

Assist Race and Sports Book ticket sellers during assigned shifts

Prepare programs, tip sheets, odds sheets, sports information sheets, etc. for current and
subsequent shifts

Coordinate with tote hub regarding race wagering issues

Coordinate with lottery office regarding sports ticket selling issues
 
Coordinate incoming racing signals, decoder operations, and channel assignments

Coordinate incoming sports events and channel assignments
Assist with Race & Sports Book ticket seller training.

Operate Race & Sports Book wagering machines as needed should staffing situations
arise

Promote the use of Capital Club cards and act as an ambassador of Dover Downs

Notify Race & Sports Book operations personnel of any suspicious activity

Compile and maintain W-2G paperwork as required.

Maintain and update scheduling board with pertinent information regarding horse racing
events.

Work additional hours on short notice as requested.
Provides exceptional customer service

Works safely, following all established safety rules and regulations

Communicates effectively with co-workers, supervisors, and guests

Follows all relevant policies and procedure

Requirements and Education:


Must possess high school diploma or GED or equivalent work experience

 Must be proficient with Microsoft Office software

 Prior cash handling experience preferred

 Prior racing Mutuel experience or prior experience in Race & Sports Book ticket selling
preferred

 Must pass a proficiency test on specific Race & Sports Book wagering machines after a
training period

 Must have general horse racing and sports knowledge

  Must be customer-service oriented

 Must possess good communication skills

 Must be able to perform assigned tasks calmly, quickly, and accurately in a high-stress,
time-sensitive environment

 Must be able to obtain regulatory credentials from the Delaware Harness Racing
Commission.

 Must be able to work weekends, holidays and nights as needed

 Must be able to report to work on time as scheduled

 Must be able to successfully pass a background check.

 Must present an overall professional appearance and report to work in appropriate attire

 Must work safely, following all established safety rules and regulations

 Must be able to speak, read and write English

Admin Operator- Race & Sport Book

$19-$41K

Duties and Responsibility:

Continuously updating and creating unique Race & Sports betting sheets for all the betting
propositions.

Use internet for researching information applicable to Race & Sports Book and overall
Gaming information.

Use available technology to control TV’s and sound system. Part of the Admin
Operator’s duties will be a jack-of-all-trades kind of helper. Knowing how to work our
new, state-of-the-art TV system will be one of those trades.

Act as a “do-all” kind of assistant and jump in whenever help is needed by supervisors.

Ensure all betting sheets are well-stocked and up to date daily and expected to place all
sheets around the booking area.

Answer phones and be able to efficiently answer any questions.
 
Set up games and post scores. Knowing when to be at your station to enter results and
answer the bell for other requirements is critical.

Keep workplace, including guest seating area, clean & safe. Cleaning area will include
when time permits, cleaning tables of bottles, glasses, and papers etc. Also, should any
unsafe condition arise – a torn carpet, broken glass, spilled liquid, etc., immediate
attention will be given.

Qualifications:

Admin Operator must be proficient and experienced and able to adapt to daily challenges
in a quick and efficient manner.

Must be computer savvy than have Race & Sports experience.

Able to learn R&S Book terminology, event dates, hours of operation, House Rules,
Gaming regulations, etc.

Must be able flexible to work various shift schedules, including weekends.

Ticket Seller - Race & Sports Book

$18-$13 per hour

Duties and Responsibility:

Race & Sports Ticket Sellers at Dover Downs will exude professionalism and display friendly
and superior customer service while providing rapid and accurate ticket selling and cashing
services to the guests of the race and sports book.

Requirements and Education:

 Must possess high school diploma, GED, or equivalent work experience required.

Prior cash handling experience preferred.

Must attend departmental training on specific Race & Sports Book terminals and Horse
Racing terminals and pass a proficiency test on both.

Must possess good communication skills and listening abilities.

Must perform calmly, quickly, and accurately in a high-stress, time-sensitive
environment.

Must present an overall professional appearance and report to work in appropriate attire.
 
Must be able to successfully pass a background check.

Must be able to obtain regulatory credentials from the Delaware Harness Racing
Commission and the Delaware Lottery.

Must be available to work nights, weekends, and holidays as needed,

Must be able to report to work on time as scheduled,

Must be able to speak, read and write English.

Dual Rate Race & Sports Book Shift Supervisor

$10-$20 Per Hour

Duties and Responsibility:

When working as a Dual Rate Shift Supervisor you will be responsible for the operations of the
Race and Sports Book during assigned shift including but not limited to approving or denying
wagers from customers, scheduling of staff, and ensuring compliance with gaming and company
regulations.

• Supervising all ticket writers.

• Assist the Race & Sports Book Manager in monitoring and making recommendations on Race
& Sports Book risk and liability, leading up to and during sporting events.

• Assist Race & Sports Book Manager as Golden Nugget’s Point person/liaison for all Race &
Sports Book Technology and Transaction Providers.

• Setting up and posting all sporting events.

• Maintaining all video screens for horse racing, games, etc.

• Updating and maintaining all customer sheets.

• Assisting Golden Nugget customers and answering all questions.

• Opening and closing the Race & Sports Book each day.

• Assist in creating and maintaining department schedules.

• Assist in updating and maintain Employee hours and PTO requests.

• Assist in overseeing and maintaining Title 31 and casino MTL’s.

Requirements and Education:

• High School Diploma or equivalent experience.

• At least 2 years of Sports Book Supervisory experience. Which must include, bookmaking,
Horse Book experience, and knowledge of all sports or equivalent work experience.

• Able to work well with fellow Supervisors and ticket writers.

• Excellent interpersonal and communication skills (verbal and written), fluent English and
articulate.

• Ability to work efficiently, independently and cohesively, consistently producing quality

results.

• Be able to work all shifts and all days of the week.

• Must be able to obtain a Mississippi Gaming Commission Work Permit.

• Minimum age requirement is 21.

Sportsbook Supervisor

$10-$21 per hour

Duties and Responsibility:

Responsible for the day-to-day operations of the new FanDuel Sportsbook including but not
limited to establishing limits for betting propositions in various sporting events, ensuring
adherence to gaming regulations and company policies, and promoting positive public relations
with customers.

 Overseeing the daily operations of the new FanDuel Sportsbook.

 Maintain thorough and accurate records of transactions to ensure the integrity of
operations.
 Explain and interpret rules and payoffs for customers.
 Resolve customer issues in a timely and appropriate manner.
 Maintain communication with the Company's Race and Sports Hub and remain updated
on all guidelines established in the hub.
 Responsible for personnel related matter relative to scheduling, coaching, counseling, and
training.
 Provide input into hiring and discharging.
 Other related duties as assigned by management.
Requirements and Education:

 Must be at least 21 years of age.

 One (1) year of recent experience in the same or similar position preferred but not
required.
 Must be thoroughly knowledgeable in applicable gaming regulations.
 Must have excellent customer service and communication skills.
 Must be able to obtain/maintain any necessary licenses and/or certifications.

Race & Sports Book

These bets look complicated to rookie sports bettors but are actually very simple. You will see
them offered on sports for which point spreads are all but immaterial. Examples include baseball,
NASCAR, boxing, and tennis.
Having said that, most bookmakers will even offer money line bets on sports for which point
spreads are important – e.g. football.
Here is how a typical money line bet appears:

 New England Patriots -145

 Atlanta Falcons +125

In this example, the Patriots are favored to win, and the Falcons are the underdog. You can tell
this by noting which team has the number with the negative (-) sign and which has the number
with the positive (+) sign.
The money line reveals the odds. If you believe the Falcons are going to win, you had bet $100
to win $125. If you think the Patriots are going to win, you will need to bet $145 to win $100.
(*Note: Technically, you can bet any amount you wish. The $100/$125 and $145/$100 ratios are
just baselines. The odds stay the same as the bet amounts change.)
Of course there are money line bets on the Superbowl. Let us go Falcons!
Round Robbins bets are arguably the simplest to make. “Totals” and “over/under” refer to the
same type of wager. Rather than wagering on which team or player is going to win a game or
match, you are wagering on the cumulative points they will score during the game.
Here is how this type of wager works:
Suppose the Cavaliers and Kings are playing tonight. Rather than placing a money line bet, you
can place an over/under bet.
The bookmaker will forecast the number of cumulative points it believes the two teams will
score. Let us say that number is 138. Your job is to decide whether the ACTUAL score will end
up higher or lower than 138. If you believe the score will end up higher, you had bet the over. If
you believe it will end up lower, you had bet the under.
The over/under is not always reflective of the cumulative number of POINTS scored. In tennis,
you might see a total bet offered based on the number of sets played. But the principle remains
the same.

Point Spread Bets

When people think of this type of wager, they usually think of it in the context of football. That
is understandable. Football point spread betting is practically a national pastime. That said, you
will see point spreads used in other sports, from basketball to soccer.
Here is how they work:
Every game or match has a favorite and an underdog. The former, of course, is expected to beat
the latter. The question is, by how much?
The point spread forecasts this number.
Let us use our hypothetical Cavaliers/Kings game as an example. Here is how the spread might
be listed:

 Cleveland Cavaliers +7(+140)

 Sacramento Kings -7(-130)

You are already familiar with the figures +140 and -130. They reveal the odds. Ignore them for
now. Instead, look at the +/- 7. That is the spread. The bookmaker is forecasting that the Kings
will beat the Cavaliers by at least 7 points.
If you were to wager on the Kings to win, the bookmaker would subtract 7 points from that
team’s ending score. Therefore, you would need to Kings to win by 8 points to win your bet. If
you were to wager on the Cavaliers to win, the bookmaker would ADD 7 points to THAT team’s
score. The Cavs could lose by as much as 6 points, and you would still win your bet.

Parlays & Accumulators

Parlays and accumulators are the same thing. Think of them as combined bets. Instead of
wagering on a single event, you are wagering on multiple events.
This type of wager is more difficult to win because each team you select must win its respective
event. You need to forecast the outcome of the entire parlay with 100% accuracy.
For example, let us say you have wagered on a 5-team parlay. Accurately forecasting 4 out of the
5 outcomes is the same thing as inaccurately forecasting all 5 outcomes. Parlays and
accumulators are all-or-nothing propositions.
A parlay can involve as few as two teams (or golfers, fighters, racers, etc.), or as many as 15.
The greater the number of selections, the more difficult it is to win. Accordingly, a 15-team
parlay will pay out far more than a 2-team parlay.
That is probably intuitive, but worth mentioning, nonetheless.
Futures
Futures betting allows you to place wagers on the outcomes of big events, such as the Super
Bowl, NBA Finals, or World Series. You make your selection while the regular season is under
way.
The earlier in the season you make a future bet, the greater the odds are going to be. That is
because a lot can happen during a season. For example, a starting quarterback might suffer a torn
meniscus, which could dash his team’s chances of making the playoffs, much less play in the
Super Bowl. A starting pitcher might tear his rotator cuff, shattering his team’s hopes of
competing in the World Series.
The odds-on futures are steep compared to the odds-on single games. The payouts tend to be
much larger. The reason is because it is far more difficult to forecast the outcome of a season
than the outcome of a game.

Proposition Bets
Often called “prop” bets, these wagers are usually made just for fun. You hope to win, but do not
expect to do so.
You can bet on practically anything that might happen during a game or match. Here are a few
examples:

 which team will score first?

 which baseball player will be the first to score a home run?
 how many times will Kevin Durant dunk in the first quarter of his next game
 which football player will be the first to make an interception?
 which basketball team will be ahead in points at the end of the first half?
 will Stipe Miocic win his next bout by submission
 which nationality (American, European, etc.) will win a golf tournament
 will Tom Brady throw more than 200 yards during his next game

You get the idea.

The challenge with prop bets is that luck plays a huge role. It is one thing to look at a team’s
track record, analyze stats and match-up potential, and make an informed decision about their
expected performance in an upcoming game. It is another thing entirely to forecast how many 3-
pointers a certain player will score tonight. There are too many factors that can affect that
outcome.
Think of making prop bets in the same way you might think of investing in penny stocks. You
make them with the hope that you will win. But you do not EXPECT to win. They are not like
money line bets or point spread bets where research pays off.
Boada is known for having the biggest number of Superbowl Prop Bets.

Teasers
Teasers are more complicated than the bet types we have covered thus far. They are a type of
parlay in that you bet on the outcomes of multiple events and win only if all the events turn out
according to your forecasts. The difference is that you can shift the odds into your favor by
modifying the point spread.
Here is an example of how this works:
Let us return to our hypothetical Cavaliers/Kings game, complete with its accompanying odds
and spread.

 Cleveland Cavaliers +7(+140)

 Sacramento Kings -7(-130)

Let us add two additional games to form a 3-team parlay:

 Charlotte Hornets +4.5(+115)

 Philadelphia 76ers -4.5(-110)

 Memphis Grizzlies +8(+150)

 Houston Rockets -8(-140)

Let us say you want to bet on the Kings, 76ers, and Rockets to win. You can modify the spreads
to your favor by wagering a 4-point teaser (4 points is common in basketball teasers). Were you
to do so, the spreads would look like the following:

 Cleveland Cavaliers +3
 Sacramento Kings -3

 Charlotte Hornets +0.5

 Philadelphia 76ers -0.5

 Memphis Grizzlies +4
 Houston Rockets -4

Notice that the modified spreads give you a better chance of winning each individual game. The
flip side of the coin is that you must win ALL the games for your teaser to pay out.
Teasers are a complex form of sports betting. There’s strategy involved with doing it well (I will
cover teaser strategy in a future tutorial). For now, it is enough to understand what they are and
how they work.

Pleasers
This type of bet is most offered on basketball and football. Like teasers, pleasers are a
complicated form of sports betting. That being the case, use caution.
Pleasers, like teasers, are a type of parlay. But there is one major difference between the two
types of bets. While teasers give you an opportunity to modify the spreads to your favor, pleasers
let you to move them in the other direction.
That is, out of your favor.
That, of course, makes pleasers more difficult to win. The upside is that you stand to receive a
larger payout if all your selections win their respective games.
Here is how it works, using our 3-team hypothetical parlay from above

 Cleveland Cavaliers +7(+140)

 Sacramento Kings -7(-130)

 Charlotte Hornets +4.5(+115)

 Philadelphia 76ers -4.5(-110)

 Memphis Grizzlies +8(+150)

 Houston Rockets -8(-140)

Again, let us say you are betting on the Kings, 76ers, and Rockets to win. You decide to place a
4-point pleaser, modifying the spreads as follows:

 Cleveland Cavaliers +11

 Sacramento Kings -11

 Charlotte Hornets +8.5

 Philadelphia 76ers -8.5

 Memphis Grizzlies +12

 Houston Rockets -12

Notice that the modified spreads make winning the pleaser much more difficult. But if you DO
win, the payout will be much larger.

Permutation Betting
This is another form of parlay betting. The big difference here is that, unlike parlays, you do not
have to accurately forecast the outcome for every event to win your bet. You stand to receive a
payout even if you get one or more forecasts wrong.
Permutation betting allows you to mitigate the inherent risk in betting parlays.
Here is how it works, using our previous 3-team parlay as an example
(I have removed the spreads and odds for the sake of clarity)

 Cleveland Cavaliers
 Sacramento Kings
  Charlotte Hornets
 Philadelphia 76ers

 Memphis Grizzlies
 Houston Rockets

Let us again assume you are betting on the Kings, 76ers, and Rockets to win. In a parlay, all
three teams must win for your bet to pay out. But with permutation betting, only two of your
chosen teams need to win.
Here, you might bet the 3-team parlay, but add three permutations:

1. Kings/76ers win
2. Kings/Rockets win
3. 76ers/Rockets win

Even if your 3-team parlay implodes, you can still receive a payout if any of your three
permutations occur. It is like insurance.
This type of sports betting becomes increasingly complicated with the size of the original parlay.
A 10-team parlay gives you a lot more options regarding permutations than a 2-team parlay.

If Bets
These bets are based on the same principle as permutation betting. They are a type of parlay with
reduced risk. The reduced risk stems from the fact that you can come out ahead, (or at least
minimize your losses) even in the event you make inaccurate forecasts.
With an if bet, you make a wager on the first selection of the parlay. Its outcome dictates whether
your wager on the second selection proceeds. If you lose the first bet, the second one is
cancelled. If you win the first bet, you receive a return on it, and the amount of your original
stake is placed on the second one.
This continues until the “parlay” is complete.
If your head is spinning, do not worry. True familiarity with some of the more complex forms of
sports betting comes through application. The more you do it, the more comfortable you will
feel.
For now, recognize that these betting options are available to you. Think of ways you can take
advantage of them (I will cover the “how to” details in future guides). You will find they add to
the fun and excitement of sports betting, and with a little luck, can deliver a significant windfall!

Sports Betting Math

Most people who want to place bets on sports are fans to begin with. It isn’t unheard of for a
gambler to place some sports bets, especially during big games like the Super Bowl or the
NCAA basketball Final Four, but for the most part, sports bettors are sports fans looking to use
their knowledge of a game or of a game’s players to earn a little extra cash. Being a fan of a
particular sport, a team, a college, or professional squad—these are all precursors to placing
sports bet. Sports betting is also a way for a fan to get in on the action of the game, with
something more than self-respect at stake.
All gambling is mathematics, even games of chance. If you understand the math behind the
game, you understand the game and can give yourself an advantage. For many games, like penny
slots or poorly placed roulette bets, are so bad that smart bettors earn their advantage by avoiding
them altogether. In sports betting, the math is more complicated. Depending on your favorite
sport, you may need to think about things like bye weeks, underdogs, quarterback ratings, and
injuries with the same fervor other connoisseurs reserve for fancy winces.
So how difficult is sports betting math? The math behind placing a winning bet is complicated,
but the way to stay ahead of the bookmaker is rather straightforward. If you collect on 52.4% of
your bets, you will break even. We will have more details on that number later, including why it
takes more than 50% wins to break even, but first some general knowledge about sports
gambling and the numbers behind it.
The easiest way to demonstrate the math behind a sports bet is to make up an example. Let us
say you and your buddy walk into a casino, each with $200 burning a hole in your pocket. There
is a big game on tonight, the Cowboys and the Redskins, so you wander into the sportsbook to
check up on the latest news about the game. While you are sitting there, you see the wagering
board, with some funny numbers on it. It looks like this:

 428 Cowboys +175

 429 Redskins -4 -200 38
Some of this is easy enough to read. The Redskins -4 means the Redskins are favored to win and
must do so by at least 5 points for a bet on the ‘Skins to pay out. The next number (-200) is the
money line, in this case the Redskins are a 2/1 favorite. The last number (38) is the total, the
over/under of the expected number of points scored in the game.
More on Placing Sports Bets

Look at that over/under number, in this case 38. If you or your buddy thinks this is going to be a
particularly high or low scoring game, based on your knowledge of the team’s offenses and
defenses, or information about a hurt player or bad playing conditions, you can place a wager on
the total of points scored.
So how is a guy supposed to know how to literally lay down a sports bet? You need to know
three things:
#1 – the type of bet you want to make
#2 – the number of the corresponding team you have chosen and
#3 – the amount you wish to wager
Knowing all that beforehand gives the ticket writer the details he needs to write the ticket
without having to bend over backwards to process your bet.
Tipping and Sports Betting
We have not even gotten to the meat of the sports math yet, and we are already talking about
tipping the staff behind the window? Yep. Here is why.
If you place two $100 bets, and you win, you will collect $440. You should consider leaving a
tip around five percent of your winnings. Yes, that is a $22 tip, but you just made a huge win,
and surely you can spring for a twenty-spot for the guy who helped you win it. If you tip around
the five percent mark regularly, when you win, you are way more likely to get free drinks, which
is about all you’re going to get comp-wise at the sportsbook.
So, back to the basic math of sports betting. You and your buddy, after much deliberation, decide
to each place a $100 bet on your favorite team. What now?
To bet on the Redskins using the point spread, your bet is called “laying the points.” For your bet
to pay off, the ‘Skins have to win by five or more to cover the spread. Remember, if the ‘Skins
win by exactly four, the game is a push, and both sides recoup their bet. Another alternative is
called “taking the points” with the Cowboys. That means the Cowboys must lose by three or less
for your bet to win, or if the Cowboys win outright. So, you and your buddy go up to place your
$100 bet, and you find out that the standard straight bet at any bookie pays 11/10. That means
you must bet $110 if you want to win $100. You and your buddy pay the bookie $110 and sit
down with drinks to watch your bets come in.
These are deceptively simple bets. Deceptively because they make it look like the outcome of the
football game is like the outcome of picking marbles out of a bag. Put one black marble and two
white marbles in a bag, pull one out at random, and there is your football game. After all, the
odds are the same: 2/1 for white.
But we, as sports fans, know that the mathematics of a sporting event is much more complex.
Sports bettors deeply involved in their hobby will subscribe to weather bulletins from major
cities that take part in their sport, making huge wagering decisions based on a few mph of wind
in one direction or another. Then there is the unknown—does a player get hurt in the first
quarter? Does weather become a factor? Is a particular player “in the zone?”
How Do Bookies Make a Profit?

Just as we finish ruminating on the concept of the difficult math at play in the background of
major sporting events, we are going to turn right back towards the simpler side of sports betting.
Bookies make a profit because of vigorish. What’s vigorish?
Look at the above example again. You and your buddy each paid $10 to the bookie to place your
bet. That is what the standard 11/10 odds in sports betting are all about. You bet the Cowboys
and your buddy bet the Redskins, a total of $220 bet. The sportsbook must pay back $210 to the
winner, leaving a nice $10 profit no matter what happens on the football field. That $10 built-in
profit is called the vigorish, and it is the final monkey wrench in the gears of sports betting.
Obviously, sportsbooks are going to take more than two bets on any game, but this example is
for simplicity’s sake. Looking at the total number of bets on different games over the course of a
week and adjusting the money line and other numbers is another way the bookie makes a profit.
Adjusting the odds, a tiny percentage point in either direction will affect the balance of beats and
make the book more likely to turn a profit no matter what.
Essentially, a bookie is a person who holds on to money from bettors then pays them if they win
and keeps their money if they do not. That is what the job is boiled down to its essence.
When a bookie sets odds for games, he will build what bookies call an “over round” into his set
of odds. Another slang term used for this formula is “the juice.” For the sake of simplicity, let us
look at a boxing match where both contenders are equally talented, of equal stature, etc. Since
they both have an equal chance of winning, a casual bet may be even money. You put $20 on
one guy; your friend puts $20 on the other. Whichever fighter wins awards the bettor with the
total of $40.
Bookies do not offer even money like friends in a casual betting situation. In the above example,
with two evenly matched boxers, a smart bookie will offer 5/6 odds for each. That way, a $10
winning bet would only return $8.30 plus your stake. What does this do for the bookmaker? He
can float an equal amount of money on both fighters, winning no matter which fighter wins. If
they take $1,000 worth of bets on one boxer and $1,000 on the other, the bookie will take in
$1,000 but only must pay out $830, for a guaranteed $170 profit regardless of the outcome.
Bookies look at the weight of their books all the time and adjust odds and other factors to make
sure their books balance. Though it isn’t possible to completely balance a book, bookies that go
too far out on one side run the risk of losing money and losing money in gambling is the fastest
way to find yourself in another industry. All of these factors are why bookies generally root for
the underdog—too many favorites winning in a sport with a short season (such as the NFL) can
cause a bookmaker to lose money, while a bunch of upsets (like you generally see in college
football) is a guaranteed profit for the bookmaker.
The short answer here is that bookies making money has nothing at all to do with your betting. It
is almost unheard of for a single customer to be allowed to place enough bets to sink a single
book all on his own. High rollers in sports betting get special privileges in terms of their
maximum bet size, but these privileges often change with the bettor’s luck—maximums get
raised after the bettor sees big losses and decreased (sharply) when the bettor starts to get lucky.
In short, a sportsbook’s profits are not necessarily impacted directly by the way an individual bet
is called. Unlike casino games or slot machines, where it is you against the house, sports bettors
fuel the bookmaker’s business and only rarely is an individual bettor betting against the bookie.
Sports Betting Odds

Remember at the beginning when we talked about the magic number necessary to guarantee a
break-even week in sports betting? If you read enough about sports betting, you will hear this
number repeated often: 52.4%. If a better can win 52.4% of his bets, he will break even. Where
does that number come from?
When betting the spread, you get odds of -110. Sometimes, sportsbooks will offer a -105 line as
a promotion or to welcome new business. But for the most part, if you are betting the spread, you
are getting -110.
We draw that 52.4% break even number right out of the odds. -110 is equivalent to 11/10. That
means if you bet 21 games, you would have to win eleven of them and lose ten of them to break
completely even. Even at -105, you would still have to win an astounding 51.2% of the time just
to break even.
If you do not trust the basic math behind this break-even principle, look at another real-world
example. Let us say you get really into sports betting after your Cowboys cream the Redskins
and you go home with a nice fat wallet. You then bet on the next 10 Cowboys games, winning
six times, and losing four times.
That 60% betting record (with the odds of -110 that is traditional for against the spread bets in
football) will leave you with a profit of $160. Think about it—your $600 profit from your 6
winning bets minus the $440 you lost on losing bets leaves $160. It took you $1,100 to win $160,
meaning you must bet $6.87 to win $1 on average. So, you see the small differences between a
52.4% winning rate and a 60% winning rate—inside those 7.3 percentage points lies hundreds of
dollars in profit.
Now imagine instead that you lost one of those six winning bets, leaving you with a 50% betting
record. You spent a total of $1,100, won $500, and lost $550. That means overall your 50%
record drained your wallet by $50. That is where the vigorish will get you. Not even winning
half the time is good enough to break even in sports betting.
Professional Sports Bettors

Believe it or not, some people really do bet on sports for a living. Maybe they work part time at
a sportsbook or in some other marginal job in the casino industry, but there is a group of
gamblers who bet on sports for their life’s work. With all the math swirling around in our heads
after the last bit of the article, it is hard to imagine anyone wanting to do this for a living.
If you know that a 52.4% record will mean you break even, the simplest way to turn sports
betting into a career is to bet enough so that a 53% winning record will bring in the kind of
money you want to make.
Another example. After your successful Cowboys experiment, you decide to invest $10,000 in
sports gambling over the first four months of the following football season. That $10,000 is set
aside to win or lose in sportsbooks.
You plan on betting on 160 games during your investment period. You dream of a 55% winning
record because your win-loss with a 55% winning record would give you an 88-72 record. That
is an expected profit of +8.8 units. How did we get to that number? To calculate your units,
subtract the total of your losses (multiplied by 1.1 to include the via) from your wins and you
will get your unit profit.
Placing $460 bets on each of these games, a number pulled from some quick and dirty math
about how much you could afford to bet in a single week’s NFL play without blowing your
bankroll, would result in a $4,048 profit if you maintain that 55% winning record. Turning
$10,000 into $14,048 in just four months is an investment return of 40.48%. I dare you to ask
your bank for that kind of return on your savings account.
But that is all assuming you can pick the winner 55% of the time. Do your research, investigate
the records of professional sports gamblers. 55%, while not impossible, would place you among
the elite sports bettors in the country, if not the world.
Professional sports bettors must worry about variance more than any other type of gambler.
Working against the forces of variance means managing your bankroll over the course of the
season to avoid the negative possibilities that could totally empty your wagering account.
Professional sports bettors have the time and resources necessary to calculate these variances,
and there are even a few pieces of software out there that can help you figure out your ideal bet
in the face of negative variance. But the bottom line is that professional sports bettors would
dream of having a 55% winning record, simply because it guarantees you are beating the house.
FURTHER INFO NOTE:
Pro bettors make their money on bets that sportsbooks offer that give them even the slightest
betting advantage. The key to becoming a profitable sports bettor is being able to find
advantages, opportunities where the line a book is offering is vulnerable.
Therefore, many long-term sports bettors are math freaks. Good sports bettors understand
statistics, particularly what are called inferential statistics, though any higher math will help
when it comes time to place a bet.
Here is what a professional baseball bettor might do in his head. After looking over statistics
from MLB (kept religiously by all sorts of bloggers, data archives, and magazines) between the
years 2000-2010, he notices a particular statistic pop out. For example: when the home team
starts a left-handed pitcher the day after a loss, that team wins 59% of the time. Good sports
bettors can do this sort of math in their head or very quickly on paper. From that bit of
information comes a new betting theory—look for game situations that mirror the above example
and bet on them. That means he will only bet games where the home team starts a left-handed
pitcher the day after a loss. Does he just jump in and start betting based on this back of the
napkin math? No way. More statistical analysis is required—he may find that this was a fluke for
that decade and is not a trustworthy statistic, or he may find an even more advantageous bet
based on his original theory.
Pro sports bettors also keep near-obsessive records of their bets. Obviously, no edge in sports
betting lasts longer than a single game. Taking proper records will also help you test theories,
like the above one about left-handed pitchers and losses. Without taking good records, no sports
bettor’s bankroll will last very long.
What Is a Good Record for Sports Bettors?

So, at the end of the day, what could you call a “good” record for a sports bettor? Most casual
gamblers looking into sports betting see a pro advertising his 1100-900 record and shake their
head a little. How could such an abysmal record be something to be proud of? That is a 55%
winning percentage, and it indicates to those in the know that this bettor is turning a profit
placing bets on sports.
A good record for a sports bettor is any record equal to or larger than 52.4%, because that
number or anything higher means you are not losing money. A 53% winning record, while not
impressive on paper, means you are beating the sportsbook and putting money back in your
pocket. Ask your friends that play the slots or play online poker how often they end up putting
money back in their pocket.
A -110 wager, standard for spread bets in the NFL, gives the house a built-in advantage of 10%.
It means that even if you do win, and you line up to collect your $100, some sucker behind you
just spent $10 to hand the casino $100.
A good record for sports bettors is any record that ensures they at least break-even. If you bet 16
games this NFL season and you won 9 and lost 7, you probably made money. And taking money
away from a casino is always something to be proud of.
IMPLIED PROBABILITY

Simply put, converting betting odds into probability is the implied probability. When
sportsbooks set the odds on a bet, they first determine the chance of winning that bet. This way, a
bookmaker hopes to avoid paying out too much to still make a profit.

THE KINDS OF ODDS

Hopefully, you are following along. Any time you look at sports betting sites, you’ll see odds
listed. But they may not be the same type of odds from sportsbook to sportsbook.

And that is because there are multiple kinds of accepted odds on sportsbooks. The three most
common odds formats are:

 Fractional odds
 Decimal odds
 American odds

So, it is imperative to learn how to read all three kinds of odds. Then, you can understand most
of the odds you will find on sportsbooks worldwide. And that will help you place more informed
bets no matter the odds!

FRACTIONAL ODDS EXPLAINED

You will most likely find fractional odds in Europe, not the U.S. Fractional odds are most
common in the UK in connection with betting on horse races. These odds are used to
demonstrate that a bettor will get their winnings proportional to their wager/stake.

To make things clearer, here is an example to fully show how fractional odds work in practice.
Assume the Yankees have fractional odds of 5/2. Put plainly, with each $2 that is bet, a profit of
$5 is possible.

To figure the math out for yourself, use this formula:

Profit = (Stake/Denominator) x Numerator 

So, if the stake is $50, then P = (50/2) x 5.

P = (25) x 5
P = $125

Fractional odds can be a bit complicated to understand compared to other kinds of commonly
used odds. But, since they are not the preferred choice in America, you will not encounter them
often. However, it is still good to know how they work.

DECIMAL ODDS EXPLAINED

A widely used type of odds worldwide is decimal odds. If you are familiar with a variety of
sportsbooks, you will have encountered decimal odds. So, here is an in-depth explanation of
what decimal odds mean.

Boiled down, decimal odds illustrate what a better would receive in profits for a one-dollar
wager. But it is a little more complicated than it sounds. Below, you will find an example used to
explain exactly how decimal odds work.

In this example, the New York Yankees have 2.0 odds to win against the Boston Red Sox. So,
for every $1 that is bet on them to win, a bettor will get $2 in profits. That means the bettor will
not only get back the $1 stake but also $1 in profits.

For you to be able to figure it out mathematically for yourself, use the equation below.

Profit = (Stake x Odds) – Stake

If we use the example from above with a $50 stake, that means:

P = (50 x 2) – 50

P = 100 – 50

Profit = $50

Decimal odds are not all that complicated when it comes down to it. The formula is maybe the
easiest to do on your own. Hopefully, you will be an expert at understanding decimal odds from
now on!

AMERICAN ODDS EXPLAINED

American odds will also sometimes be referred to as Money Line. In the US, naturally, American
odds are the most widely used types of odds for sportsbooks. You will see them as either positive
or negative odds.

It is easiest to understand American odds if you have an example. So, here is an illustration of
American odds in action:
In this example, the Boston Red Sox are again playing the NY Yankees. Let us give the Red Sox
+150 odds and the Yankees -120.

Positive odds represent the profit a bettor will potentially receive if they bet $100. That means if
they placed a wager of $50 on the Red Sox to be the winners, the profit the bettor would get if
the Sox win is $75.

Negative odds numerically represent what a better would need to bet to win a profit of $100.
That means if we use the example from above, they will have to wager $120. Plus, the New York
Yankees need to win for the better to win a profit of $100.

American odds are very easy to understand when broken down like that. Plus, you will find these
odds in most US sportsbooks. So, you should now be able to read most sportsbooks and
understand their odds.

HOW TO FIGURE OUT IMPLIED PROBABILITY

Now, you have learned how to understand the most popular kinds of odds. But that is not all you
need to know to place the best bets possible. If you figure out the implied probability of an event,
you can place your best bets.

Figuring out the implied probability using positive American odds is simple. To demonstrate
this, we will use the same numbers and teams from above. This is how you would calculate the
positive odds implied probability:

IMPLIED PROBABILITY FOR POSITIVE ODDS

Implied Probability = 100/ (Positive Odds + 100)

IP = 100/ (150 +100)

IP = 100/250

Implied Probability = .4

So, the implied probability that the Boston Red Sox will win is .4 or 40%. Thus, the bookmakers
for the sportsbooks will think the Red Sox have a 40% chance of beating the Yankees. You can
use these odds to figure out what you want to bet on and how much.

IMPLIED PROBABILITY FOR NEGATIVE ODDS

Now, you need to learn how to calculate implied probability when it comes to negative American
odds. Luckily, it is as easy as it is for positive odds. We will use the same numbers from the
money line example. So, the Yankees have -120 odds in this example.

Implied Probability = Negative Odds/ (Negative Odds – 100)

IP = -120/ (-120 – 100)

IP = -120/-220

Implied Probability = .5454

That gives us an implied probability of .5454 or 54.54%. So, the New York Yankees will have a
54.54% chance of being the winners of the game against the Red Sox.

CALCULATORS FOR BETTING ODDS

Well, now that you know the most common odds that are used, you can calculate them yourself.
But it always makes sense to check your math using a betting odds calculator. This is to double-
check that you have done it correctly.

You do not want to place bets with the wrong odds. Obviously, you want to place the best bet
possible. A betting odds calculator can help you make sure you are using the right facts.

FINAL TIPS ON HOW TO READ ODDS

So, now that you know how to read and calculate the most popular odds, you should be ready to
place your bets. Knowing how to read odds makes it so you can place the most informed bets.
Likewise, you will have a better chance of having your bet pay off. Remember, however, that no
bet is a sure thing.

And now that you can calculate your own odds, compare multiple sportsbooks’ odds. Some may
have different odds for the same event. But you can still get a general feel for what the odds are
for each outcome.

Finally, now that you are an odds expert, you can calculate implied probability. Implied
probability is a great tool for bettors. So, you can be the best at placing bets and hopefully win!

Nevada Revised Statutes 463.160 – Licenses required; unlawful to permit certain gaming
activities to be conducted without license; exceptions; separate license required for each location
where operation of race book or sports pool conducted
Current as of: 2019 | Check for updates | Other versions
1.  Except as otherwise provided in subsection 4 and NRS 462.155 and 463.172, it is unlawful
for any person, either as owner, lessee or employee, whether for hire or not, either solely or in
conjunction with others:
Terms Used in Nevada Revised Statutes 463.160
 county: includes Carson City. See Nevada Revised Statutes 0.033
 Lease: A contract transferring the use of property or occupancy of land, space,
structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
 person: means a natural person, any form of business or social organization and any
other nongovernmental legal entity including, but not limited to, a corporation,
 partnership, association, trust, or unincorporated organization. See Nevada Revised
Statutes 0.039
 Statute: A law passed by a legislature.
(a) To deal, operate, carry on, conduct, maintain or expose for play in the State of Nevada any
gambling game, gaming device, inter-casino linked system, slot machine, race book or sports
pool.

(b) To provide or maintain any information service.

(c) To operate a gaming salon.

(d) To receive, directly or indirectly, any compensation or reward or any percentage or share of
the money or property played, for keeping, running or carrying on any gambling game, slot
machine, gaming device, race book or sports pool;

(e) To operate as a cash access and wagering instrument service provider; or

(f) To operate, carry on, conduct, maintain or expose for play in or from the State of Nevada any
interactive gaming system, without having first procured, and thereafter maintaining in effect, all
federal, state, county and municipal gaming licenses or registrations as required by statute,
regulation or ordinance or by the governing board of any unincorporated town.
2.  The licensure of an operator of an inter-casino linked system is not required if:

(a) A gaming license is operating an inter-casino linked system on the premises of an affiliated
licensee; or

(b) An operator of a slot machine route is operating an inter-casino linked system consisting of
slot machines only.

3.  Except as otherwise provided in subsection 4, it is unlawful for any person knowingly to

permit any gambling game, slot machine, gaming device, inter-casino linked system, race book
or sports pool to be conducted, operated, dealt or carried on in any house or building or other
premises owned by the person, in whole or in part, by a person who is not licensed pursuant to
this chapter, or that person’s employee.

4.  The Commission may, by regulation, authorize a person to own or lease gaming devices for
the limited purpose of display or use in the person’s private residence without procuring a state
gaming license.
5.  For the purposes of this section, the operation of a race book or sports pool includes making
the premises available for any of the following purposes:
(a) Allowing patrons to establish an account for wagering with the race book or sports pool.

(b) Accepting wagers from patrons.

(c) Allowing patrons to place wagers.

(d) Paying winning wagers to patrons; or

(e) Allowing patrons to withdraw cash from an account for wagering or to be issued a ticket,
receipt, representation of value or other credit representing a withdrawal from an account for
wagering that can be redeemed for cash, whether by a transaction in person at an establishment
or through mechanical means, such as a kiosk or similar device, regardless of whether that
device would otherwise be considered associated equipment. A separate license must be obtained
for each location at which such an operation is conducted.