A parlay is a betting strategy that combines multiple bets into one wager. All the bets must win for the wager to cash. The more legs you add to the parlay, the greater the payout will be. Parlays are a very appealing betting strategy to recreational bettors, due to them being low risk high reward
Calculating Parlay Payout
Lets say it is NFL Sunday, and you have 3 bets you really like: Bills -4.5, Patriots +6, and Lions/Raiders Under 44.5. If you bet all 3 of those bets straight for $10 each, you would risk $30 to win $27. If you parlayed all three spreads, you could risk $10 to win $59.58 if all 3 bets win. All 3 bets must win for you to receive the $59.58. Sports books will calculate the parlay payout for you, but if you ever want to calculate for yourself, the formulas are shown below. The first step is to convert American Odds to Decimal Odds.
After converting to decimal odds, you need to multiply all the bets decimal odds together. I will use the above example to illustrate this.
Calculating Spread Parlay Payout
In the above scenario, you would profit $59.58, if all three bets win. Parlays are also often done with money line bets. Below shows how you those calculations work.
Calculating Money line Parlay Payout
For this 3 team money line parlay, if you risked $10, you would win $56.93. Hopefully now you have a good understanding of how parlays work. Hit the button below to go to the next lesson. This lesson will teach you the win percentage you need to hit at to be profitable. This is essential knowledge to becoming a good sports gambler