Guide · Math

House edge, explained in plain English

The house edge is the single most important number in gambling, and most people never look at it. It’s not luck or temperature — it’s a fixed tax on every dollar you wager.

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Edge and RTP are the same coin

RTP (return to player) is the percentage of wagered money a game pays back over the long run. The house edge is simply 100% minus the RTP. A game with 99% RTP has a 1% house edge.

So ‘99.5% RTP blackjack’ and ‘0.5% house edge blackjack’ are the same statement. One sounds generous; the other tells you the truth.

The only formula that matters

Expected loss = total wagered × house edge. Wager $1,000 on a 1% edge game and, on average, you lose $10. It doesn’t matter how you split that into bets — the math is linear.

This is why a ‘small’ 5% edge isn’t small: across volume it compounds against you relentlessly. The difference between a 0.5% game and a 5% game is the difference between a hobby and a leak.

Per hour is where it bites

Edge per bet feels abstract until you multiply by speed. At 120 rounds an hour and a $5 bet on a 2.7% game, you’re wagering $600/hour and expected to lose about $16/hour — every hour, on average.

Lower the edge, lower the bet, or slow down, and that number drops directly.

Key takeaway

Pick the lowest-edge game you enjoy and you keep more of your money by default. The House-Edge Decoder turns any game and stake into a real dollar cost per $100 and per hour.

Open the House-Edge Decoder