Decimal betting odds are one of the most common ways of presenting your potential winnings from a bet. Learn how to read them easily with our simple guide.
For new bettors, understanding the odds associated with your bets is certainly a learning curve! For example, you may see the odds of a bet being shown as a number or decimal.
But how do decimal odds work, and how can you read them to understand your own chances of winning? Our guide will teach you about decimal betting odds, explained in simple terms, along with some real-world examples so you can see this bet-type in practice.
What are decimal odds?
Decimal odds show how much money you could win from a bet. They’re also a useful way of figuring out the likelihood of whatever you’re betting on – for instance, bets with ‘longer’ (i.e. higher) odds are deemed less likely to win.
You’re most likely to see decimal odds in European betting markets, as British bettors typically use fractional odds, while American betting sites usually present their markets with a Moneyline bet.
How to read decimal odds
Many people find decimal bets easy to calculate compared to other options. Simply multiply your stake by the given decimal of your chosen bet to see how much you can earn. Lower numbers correspond to likelier odds, while higher numbers mean the outcome is deemed less likely – and will return bigger payouts.
How to calculate payout with decimal odds
To calculate decimal odds, take the amount of money you’re looking to bet, and multiply it by the decimal number provided. The result is how much money you’ll earn including your original stake.
For example, if you’re placing £1 on Newcastle to beat Liverpool with odds of 8.0, you’ll win £8 (£1 x 8.0 = £8). This means you’ll make a profit of £7 if your bet is correct.
Higher decimals can yield bigger returns, however. For example, you might place a £1 bet on Liverpool to win 3-0 with odds of 18.5. In this case, £1 would be multiplied by 18.5, earning you £18.50 for a profit of £17.50 in total.
For help with figuring out your expected winnings from decimal betting odds, try our betting calculator.
Why are decimal odds used?
Many people find decimal odds easier to calculate at a glance than other ways of presenting bets. For example, when looking at fractional odds, it may take a while to figure out that 6/4 is smaller than 7/2 – but when converted to fractional odds, you can easily tell that 2.5 is smaller than 4.5.
They also allow for smaller increments in odds compared to fractional bets. A 1/2 bet in fractional odds means you’ll earn 1.5x your money (including your state), but with decimal odds, this can be fine-tuned to allow more specific values like 1.51 or 1.54.
Decimal odds vs fractional odds
When reading betting odds, you might realise that fractional odds and decimal odds are very similar. This is because they both represent the same outcomes in different ways, and you can convert one to the other.
To change fractional odds into decimal odds, take the numerator (the number on the left, e.g. the ‘3’ in 3/1) and divide it by the denominator (the number on the right, e.g. the ‘1’ in 3/1) – then add 1.00.
For example, to convert 7/4 to decimal odds, divide 7 by 4, then add 1.00:
7 ÷ 4 = 1.75
1.25 + 1.00 = 2.75
There you have it – 7/4 in fractional betting odds is the same as 2.25 in decimal betting odds.
For more advice on understanding your bets ahead of time, try reading our guides to different betting terms so you can learn the different ways you can place bets on your favourite sports and events. You can also teach yourself about other ways of reading odds with our fractional odds guide and our explanation of Moneyline bets.
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