House edge of casino games

If you thought that the term “the house always wins” exists because players have a bad day or that “Lady Luck” was not on their side, you were wrong. This is becouse of the House Edge!

Casinos don’t beat players because players were unlucky, but because the odds are always on the side of the casino.

You may not have known this, but all casinos have a built-in advantage in their games and that casino advantage is called the house edge.

Generally, the house edge in casino games is the percentage of the player’s bet that casino, over the long term, keeps as a profit.

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Take for example that the blackjack’s house edge is around 1.5%, which means that out of every $ 10 bet.

The casino will retain 1.5% as a profit, while the remaining 8.5% will be returned to the winning players (in the form of RTP).

In the long run, the casino always wins and the house edge cannot be avoided, but with the right strategies, you can reduce it to a minimum.

In this article, we will explain the details that are important to understand about how the edge works in different casino games, how to reduce it in every game!

The Kiwi mascot explains what a house edge is.

House edge of casino games

GameHouse edgeMax payout per bet unit
Blackjack0.5%1.5 to 1
Craps0.8%2 to 1
Video Poker0.5 – 5%800 to 1
Baccarat1.06%1 to 1
Roulette5.5%35 to 1
Pokies0 to 20%5000 to 1
Jackpot slots5 to 17%10 millions to 1
Casino War2.8% – 3.7%1000 to 1
Here we can see how much the house edge is on popular games in NZ, where we play without using strategies.

What is house edge?

The house edge in the casino games is the overall percentage of players loss that the casino keeps over the long run.

Most of these percentages will range from 1% to 10% depending on the casino game you choose to play, with 10% being a game that will offer more profit to the casino then it will the player.

what is house edge?
House edge

The house edge is the percentage of the player’s bet that the casino keeps as a profit in the long run.

Jack Efaraimo

The house edge is used to keep casinos within proper operational standards and winning in the long run, so it should never be confused with RTP or volatility at casino games even though they are connected.

General house edge of popular NZ casino games

Every game in the online casino carries its own house edge.

House edge does not work when you play at short intervals but compiles over a long period of time spent in a single casino game.

Jean Scott

This is the most practical way for players to determine from which game will benefit the most over a time and from which the least.

Since most of these percentages are not valid for short play, it is best to test these percentages over a wider period of time.

Below you will find the most popular casino games with their general house edge so you can quickly see which game is best for us players.

1
House edge slots
Slots – From 1% to 20%
If you are a player who wants to play games with the lowest house edge, then you should avoid slots at all costs. Why? Well, because slots are games that have the highest edge of the house, and if you have a small budget, they will exhaust you very quickly. If you want to play lightly, choose one board game and play with the lowest bet and your budget will last longer.
2
blackjack house edge
Blackjack – From 0.5% to 3%
This table game has the lowest edge overall Blackjack in online casinos features a home edge of 0.5% to 1.5% depending on the type of blackjack variation you play. But for an ordinary player who does not use the blackjack strategy, the house edge is about 2-3%.
3
Roulette house edge
Roulette – From 2.7% to 5.6%
Roulette online is one of the most popular games at online casinos although the amount of edge is from 2.7% to 5.6%. Also, the house edge at roulette varies depending on the bet you place and the type of casino roulette game you play. If you play American roulette which has 38 fields on the wheel, the edge will be around 5.7%, while if you play European roulette which has 37 fields, the house edge will be around 2.7%.
4
Craps house edge
Craps – From 0% to 10%
Craps is one of the games that have the widest edge spreads depending on the bet you place. Generally, if you know the rules and basics of craps, this can be a casino game with the lowest edge. If you opt for pass odds bets, the house edge will disappear completely, while for playing Pass Line bets, then the craps house edge will be 1.41%. The bet that has the highest house edge in the craps is a Proposition bet in which the house edge is over 10%.
5
Casino wars house edge
Casino wars – From 2.06% to 18%
Casino Wars is also a game where the house edge varies from factors such as bet selection and the number of decks. The more decks in the game, the house edge increases. If you choose the “war” bet regardless of how many decks are in play, the house edge will vary between 2.06% and 2.90%. If you choose to surrender the house edge will be around 3.7%. It would also be good to avoid a “tie bet”, because in a game with 5 decks, house edge casino wars increase to 18%.

How the casino house edge works?

In this section, we will show you how the casino edge works in casino games.

The main purpose is to realize that even if you win, the casino has an advantage over you, and to know that the house always pays less than the real odds are.

This is the built-in advantage of the casino, which we talked about above in the text.

The easiest way to understand how it works is to make an example with a simple coin toss game.

Let’s say we bet one dollar on a coin toss in which we win if we bet on the head, and lose if we bet on the tails.

Let’s see what it looks like:

OutcomeOddsPayoutReturn
Win50%NZ$ 1+ NZ$ 0.50
Lose50%-NZ$ 1– NZ$ 0.50
Here we can see that player’s loss is NZ$ 0, and the edge is also 0%.

That is why games like this will never be found in a casino.

Let’s see now what this game looks like when we add the edge of the house that is built into all casino games.

In the following example we will see a scenario where after betting one dollar you get a payout of NZ $ 0.90.

OutcomeOddsPayoutReturn
Win50%NZ$ 0.90+ NZ$ 0.45
Lose50%-NZ$ 1– NZ$ 0.50
Here we can see that player’s loss is -NZ$ 0.05 which makes the house edge exactly 5%. (NZ$ 0.05 ÷ NZ $1)

Now the house advantege is 5%. All casino games are based on a similar principle, which means that they pay you less than the actual winning odds are.

Casino games are much more complicated than our coin toss game, for the reason to make them more interesting and to make it harder for us to realize that the odds are actually against us.

How to calculate house edge using RTP?

There is another way to calculate this, if it is not presented in the game. Take for example that many game providers throw out information about Return to Player.

In general, RTP and houseedge are connected. To calculate the house edge of a casino game, simply find its RTP percentage and subtract it from 100%. The result you get is what the house has in advantage over you.

newzealandcasinos.nz
here you can see how to calculate house edge using rtp percentage.
Subtracting RTP from 100% is equal house edge.

Take for example the slot game Trump It Deluxe Epicways which has an RTP of 96.98%.

To calculate the house edge of this slot game produced by Fugaso, we have to subtract RTP from 100%, the result is 3.02%.

The house edge of this game is 3.02%. This way you can calculate your advantage over the casino for all casino games that have RTP information.

How to reduce the casino house edge?

In order to be able to reduce the house edge on casino games, you need to know the basic rules of each game and some strategies.

In general, all casino games we mentioned in the text above do not have a fixed house edge.

The edge changes according to the player’s decision and the bet he chooses to play.

Richard Arnold Epstein

Take roulette for example, in the American version, the edge is higher than when we play European (Great American VS European roulette example in this article).

And each bet it has it own house edge percentage.

American vs european roulette
American VS European roulette

If we take blackjack into consider, the house edge obviously falls when we use basic blackjack strategy charts. If you are beginner and do not know anything about this game, casino edge increases up to 3%.

Of course, we also mentioned the craps game where the casino edge changes and is different on each bet you choose.

There is no strategy in slot games because it is a game of pure luck, but if you choose a slot machine that has a higher RTP, the edge of the house will be reduced.

Here you can check out pokies with highest RTP (Lowest edge)

Another way to reduce the edge is by creatively placing your bets. In terms of slot coverage, the edge can be avoided by covering more lines with each spin.

Creating a greater area of coverage will help determine a better chance of hitting on that given spin.

As you narrow the line coverage, you lower your chance of coverage over any given spin, reducing your chances of winning on a spin-to-spin basis.

This same method can be applied to the game of roulette, as number coverage will increase your chances of winning.

So when somebody asks how to reduce the house advantage, the final word should be to learn as much as possible about the casino game you plan games for real money and to try to implement the strategy.

Playing with a proven strategies can help to decrease casino edge that the house has!

Here we have listed most popular casino strategies that can be used almost on every real money game.

Top strategies

FIBONACCI

Double your bets after a loss.

THE LABOUCHERE

Win back your loses!

D’ALEMBERT

Pyramid strategi

MARTINGALE

Double your bet after a loss.

THE 1-3-2-6 STRATEGY

Increase bets when winning!

PAROLI

Reversed Martingale strategi

COUNTING CARDS

Counting cards in card games.

PARLAY

Increase bets when you win!

FLAT BETTING

Always bet same amount

FAQ

What casino game has the lowest edge?

Casino game with the lowest edge of 1.5% is definitely blackjack.

For beginners the edge climbs to up to 3%, while for advanced players who know how to use the basic blackjack strategy it drops to 0.5%.

How to find the house edge of a particular casino game?

You calculate house advantage by taking the RTP percentage of a particular casino game and subtract it from 100%.

The result you get will be equal to the house edge of that casino game.

Why does the house always win?

All games in casinos have a built-in the so called “house advantage” that is profit taken for each played bet.

So whether you win or lose, the casino always has the advantage.