A parlay is a type of bet in which the bettor is required to make multiple wagers on two or more teams, all of which must win in order for the bettor to win the wager. If any of the wagers fail to win, then the entire parlay bet is lost. Parlays are known for their large payouts, as the odds of all the wagers winning are much lower than if each wager was placed separately.
How to Calculate Parlay Odds
Calculating parlay odds can be a tricky process, but with a bit of practice, it can become easier. There are two main methods for calculating parlay odds: the American Odds method and the Decimal Odds method.
American Odds Method
In the American Odds method, the odds are expressed in terms of the amount of money the bettor stands to win or lose based on the outcome of the wagers. To calculate the odds using this method, the bettor must first calculate the odds of each individual wager. For example, if the bettor is wagering on a game with odds of -110, they will win $100 for every $110 they wager.
Once the odds of each individual wager have been calculated, the bettor can then multiply the odds together. For example, if the bettor is making three wagers with odds of -110, -130, and -150, the bettor would multiply -110 x -130 x -150 to get odds of 2.615. This means that for every $2.615 the bettor wagers, they stand to win $100.
Decimal Odds Method
In the Decimal Odds method, the odds are expressed in terms of the amount of money the bettor stands to win for every dollar they wager. To calculate the odds using this method, the bettor must first calculate the decimal odds of each individual wager. For example, if the bettor is wagering on a game with odds of 1.90, they will win $1.90 for every dollar they wager.
Once the decimal odds of each individual wager have been calculated, the bettor can then multiply the odds together. For example, if the bettor is making three wagers with decimal odds of 1.90, 1.70, and 1.50, the bettor would multiply 1.90 x 1.70 x 1.50 to get odds of 4.35. This means that for every dollar the bettor wagers, they stand to win $4.35.
Understanding the Difference Between Parlay Odds and Moneyline Odds
It is important to understand the difference between parlay odds and moneyline odds. Moneyline odds are used to calculate the odds of an individual wager and represent the amount of money the bettor stands to win or lose based on the outcome of the wager. Parlay odds, on the other hand, represent the amount of money the bettor stands to win for every dollar they wager on all of the wagers in their parlay.
Tips for Calculating Parlay Odds
There are a few tips that can help when calculating parlay odds.
Use a Parlay Calculator
There are a variety of parlay calculators available online, which can make calculating parlay odds much easier. These calculators allow the bettor to input the odds of their individual wagers and the calculator will then calculate the parlay odds for them.
Compare Odds from Different Sportsbooks
Odds can vary from sportsbook to sportsbook, so it is important to compare the odds at different sportsbooks before placing a wager. This will ensure that the bettor is getting the best possible odds for their parlay.
Understand the Risks
It is important to understand the risks associated with parlay betting before placing a wager. Parlays can be lucrative, but they also carry a high degree of risk, as all of the wagers must win in order for the bettor to win the wager.
Advantages and Disadvantages of Parlay Betting
Parlay betting can be a great way to increase potential winnings, but it is important to understand both the advantages and disadvantages of parlay betting before placing a wager.
Advantages
- Potential for Higher Payouts: Parlays have the potential for higher payouts than single wagers due to their low odds of all the wagers winning.
- More Fun: Parlays are more exciting than single wagers, as the bettor has the chance to win a large payout if all of the wagers win.
Disadvantages
- High Risk: Parlays are high risk, as all of the wagers must win in order for the bettor to win the wager.
- More Difficult to Calculate Odds: Parlay odds can be difficult to calculate, as the bettor must calculate the odds of each individual wager and then multiply them together.
Conclusion
Calculating parlay odds can be a tricky process, but with a bit of practice, it can become easier. There are two main methods for calculating parlay odds: the American Odds method and the Decimal Odds method. Additionally, it is important to understand the risks associated with parlay betting before placing a wager, as well as the potential advantages and disadvantages. With a bit of practice and knowledge, calculating parlay odds can become a much simpler process.