What is House Edge?

While casinos provide different games so that players can enjoy and win money, they also have the intention to make money from the games.

Every casino game is designed in a way that favours the casino eventually. That is why it is always said that a casino can never lose. House Edge is the term used to describe this casino advantage.

The house edge of a casino game represents the mathematical advantage that the game and the casino itself have over you as you play the game over time. This is usually a percentage of the entire bet that is placed on the casino game in its entire life span.

  • House Edge is in-built in casino games to give casinos an advantage to make money.
  • The lower the house edge, the better it is for players.

House Edge and RTP

Every casino game comes with a Return to Player (RTP) percentage. House edge is the exact opposite of RTP. While it is not common for casinos to show their house edge in each game, you can always find the RTP of a casino game easily.

Once you have the RTP a casino game is offering, you can easily calculate the house edge on the game. If you want to calculate the house edge from the RTP, you have to subtract the RTP from 100%.

To understand this better, assuming a particular game has an RTP of 97%, then based on the calculation, the house edge of the game will be 3%.

The house edge of a game can help players decide how much they can get back from the game in its entire life span.

House edge varies from game to game. That is why games with higher house edge payout less compared to games with a lower house edge.

So it is always suggested than when you are playing a casino game, you should quit while you are still ahead. Looking at the infrastructures put in place by a casino, it is understandable why they need an edge.

House edge for land-based casino games is always higher than that of online casinos due to the increased cost of operations.

House Edge and Paylines

Payline is another factor to consider when you are playing casino games, especially slots. The payline of a slot has an indirect effect on the house edge.

Since the outcome of casino game is randomized using random number generators, it is almost impossible for you to know the exact time you are going to win on a game.

Assuming you are playing a variable payline slot with 20 paylines, and you only bet on 10 of the paylines, this means that you have reduced your chances of winning by half. At the same time, it means that the chances of the casino getting the house edge from you have been increased.

Why House Edge is Important

While it is true that the house edge indicates the percentage of money players will lose on a game over time, other factors also determine your average loss.

The average bet size, speed of play and total hours played on a game all has an impact on your average loss. A simple way to calculate the average loss is to multiply all these factors together with the house edge.

So how can you beat the house edge? You need to develop a good playing strategy and maximise your chances within a short period. Then remember, always quit while you are ahead because, in the end, the casino always wins.


House edge is a percentage of money a casino realizes over time from a game. It is in-built in games, so casinos don’t have to cheat you to make money. The lower the house edge of a game, the better it is for players.

So, when next you are choosing a casino game to play, always remember that employing the right strategies can help you beat the house edge.

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