Casino Games With The Lowest House Edge
Posted : admin On 3/30/202210 Casino Games with the Lowest House Edge. This is a classic that offers House Edge from 6.39% to 4.82%. It is definitely a classic in table games. Preferably the oldest of the. Blackjack: House Edge – 0.13% – 0.70% Blackjack is the ultimate and ever-classic table casino. Baccarat Baccarat may not be as popular as some casino games, and its higher stakes may put some low-limit players off. But, the game is actually very simple, and played well the house edge can be.
Introduction
The house edge is defined as the ratio of the average loss to the initial bet. In some games the beginning wager is not necessarily the ending wager. For example in blackjack, let it ride, and Caribbean stud poker, the player may increase their bet when the odds favor doing so. In these cases the additional money wagered is not figured into the denominator for the purpose of determining the house edge, thus increasing the measure of risk. For games like Ultimate Texas Hold 'Em and Crazy 4 Poker, where there are two required initial wagers, the house edge is based on one of them only. House edge figures are based on optimal or near-optimal player strategy.
Now we are finally there. Our winner in the lowest house edge category is the one.
The table below shows the house edge of most popular casino games and bets.
Casino Game House Edge
| Game | Bet/Rules | House Edge | Standard Deviation |
|---|---|---|---|
| Baccarat | Banker | 1.06% | 0.93 |
| Player | 1.24% | 0.95 | |
| Tie | 14.36% | 2.64 | |
| Big Six | $1 | 11.11% | 0.99 |
| $2 | 16.67% | 1.34 | |
| $5 | 22.22% | 2.02 | |
| $10 | 18.52% | 2.88 | |
| $20 | 22.22% | 3.97 | |
| Joker/Logo | 24.07% | 5.35 | |
| Bonus Six | No insurance | 10.42% | 5.79 |
| With insurance | 23.83% | 6.51 | |
| Blackjacka | Liberal Vegas rules | 0.28% | 1.15 |
| Caribbean Stud Poker | 5.22% | 2.24 | |
| Casino War | Go to war on ties | 2.88% | 1.05 |
| Surrender on ties | 3.70% | 0.94 | |
| Bet on tie | 18.65% | 8.32 | |
| Catch a Wave | 0.50% | d | |
| Craps | Pass/Come | 1.41% | 1.00 |
| Don't pass/don't come | 1.36% | 0.99 | |
| Odds — 4 or 10 | 0.00% | 1.41 | |
| Odds — 5 or 9 | 0.00% | 1.22 | |
| Odds — 6 or 8 | 0.00% | 1.10 | |
| Field (2:1 on 12) | 5.56% | 1.08 | |
| Field (3:1 on 12) | 2.78% | 1.14 | |
| Any craps | 11.11% | 2.51 | |
| Big 6,8 | 9.09% | 1.00 | |
| Hard 4,10 | 11.11% | 2.51 | |
| Hard 6,8 | 9.09% | 2.87 | |
| Place 6,8 | 1.52% | 1.08 | |
| Place 5,9 | 4.00% | 1.18 | |
| Place 4,10 | 6.67% | 1.32 | |
| Place (to lose) 4,10 | 3.03% | 0.69 | |
| 2, 12, & all hard hops | 13.89% | 5.09 | |
| 3, 11, & all easy hops | 11.11% | 3.66 | |
| Any seven | 16.67% | 1.86 | |
| Crazy 4 Poker | Ante | 3.42%* | 3.13* |
| Double Down Stud | 2.67% | 2.97 | |
| Heads Up Hold 'Em | Blind pay table #1 (500-50-10-8-5) | 2.36% | 4.56 |
| Keno | 25%-29% | 1.30-46.04 | |
| Let it Ride | 3.51% | 5.17 | |
| Pai Gowc | 1.50% | 0.75 | |
| Pai Gow Pokerc | 1.46% | 0.75 | |
| Pick ’em Poker | 0% - 10% | 3.87 | |
| Red Dog | Six decks | 2.80% | 1.60 |
| Roulette | Single Zero | 2.70% | e |
| Double Zero | 5.26% | e | |
| Sic-Bo | 2.78%-33.33% | e | |
| Slot Machines | 2%-15%f | 8.74g | |
| Spanish 21 | Dealer hits soft 17 | 0.76% | d |
| Dealer stands on soft 17 | 0.40% | d | |
| Super Fun 21 | 0.94% | d | |
| Three Card Poker | Pairplus | 7.28% | 2.85 |
| Ante & play | 3.37% | 1.64 | |
| Ultimate Texas Hold 'Em | Ante | 2.19% | 4.94 |
| Video Poker | Jacks or Better (Full Pay) | 0.46% | 4.42 |
| Wild Hold ’em Fold ’em | 6.86% | d |
Notes
| a | Liberal Vegas Strip rules: Dealer stands on soft 17, player may double on any two cards, player may double after splitting, resplit aces, late surrender. |
| b | Las Vegas single deck rules are dealer hits on soft 17, player may double on any two cards, player may not double after splitting, one card to split aces, no surrender. |
| c | Assuming player plays the house way, playing one on one against dealer, and half of bets made are as banker. |
| d | Yet to be determined. |
| e | Standard deviation depends on bet made. |
| f | Slot machine range is based on available returns from a major manufacturer |
| g | Slot machine standard deviation based on just one machine. While this can vary, the standard deviation on slot machines are very high. |
Guide to House Edge
The reason that the house edge is relative to the original wager, not the average wager, is that it makes it easier for the player to estimate how much they will lose. For example if a player knows the house edge in blackjack is 0.6% he can assume that for every $10 wager original wager he makes he will lose 6 cents on the average. Most players are not going to know how much their average wager will be in games like blackjack relative to the original wager, thus any statistic based on the average wager would be difficult to apply to real life questions.
The conventional definition can be helpful for players determine how much it will cost them to play, given the information they already know. However the statistic is very biased as a measure of risk. In Caribbean stud poker, for example, the house edge is 5.22%, which is close to that of double zero roulette at 5.26%. However the ratio of average money lost to average money wagered in Caribbean stud is only 2.56%. The player only looking at the house edge may be indifferent between roulette and Caribbean stud poker, based only the house edge. If one wants to compare one game against another I believe it is better to look at the ratio of money lost to money wagered, which would show Caribbean stud poker to be a much better gamble than roulette.
Many other sources do not count ties in the house edge calculation, especially for the Don’t Pass bet in craps and the banker and player bets in baccarat. The rationale is that if a bet isn’t resolved then it should be ignored. I personally opt to include ties although I respect the other definition.
Element of Risk
For purposes of comparing one game to another I would like to propose a different measurement of risk, which I call the 'element of risk.' This measurement is defined as the average loss divided by total money bet. For bets in which the initial bet is always the final bet there would be no difference between this statistic and the house edge. Bets in which there is a difference are listed below.
Element of Risk
| Game | Bet | House Edge | Element of Risk |
|---|---|---|---|
| Blackjack | Atlantic City rules | 0.43% | 0.38% |
| Bonus 6 | No insurance | 10.42% | 5.41% |
| Bonus 6 | With insurance | 23.83% | 6.42% |
| Caribbean Stud Poker | 5.22% | 2.56% | |
| Casino War | Go to war on ties | 2.88% | 2.68% |
| Crazy 4 Poker | Standard rules | 3.42%* | 1.09% |
| Heads Up Hold 'Em | Pay Table #1 (500-50-10-8-5) | 2.36% | 0.64% |
| Double Down Stud | 2.67% | 2.13% | |
| Let it Ride | 3.51% | 2.85% | |
| Spanish 21 | Dealer hits soft 17 | 0.76% | 0.65% |
| Spanish 21 | Dealer stands on soft 17 | 0.40% | 0.30% |
| Three Card Poker | Ante & play | 3.37% | 2.01% |
| Ultimate Texas Hold 'Em | 2.19%* | 0.53% | |
| Wild Hold ’em Fold ’em | 6.86% | 3.23% |
Standard Deviation
The standard deviation is a measure of how volatile your bankroll will be playing a given game. This statistic is commonly used to calculate the probability that the end result of a session of a defined number of bets will be within certain bounds.
The standard deviation of the final result over n bets is the product of the standard deviation for one bet (see table) and the square root of the number of initial bets made in the session. This assumes that all bets made are of equal size. The probability that the session outcome will be within one standard deviation is 68.26%. The probability that the session outcome will be within two standard deviations is 95.46%. The probability that the session outcome will be within three standard deviations is 99.74%. The following table shows the probability that a session outcome will come within various numbers of standard deviations.
I realize that this explanation may not make much sense to someone who is not well versed in the basics of statistics. If this is the case I would recommend enriching yourself with a good introductory statistics book.
Standard Deviation
| Number | Probability |
|---|---|
| 0.25 | 0.1974 |
| 0.50 | 0.3830 |
| 0.75 | 0.5468 |
| 1.00 | 0.6826 |
| 1.25 | 0.7888 |
| 1.50 | 0.8664 |
| 1.75 | 0.9198 |
| 2.00 | 0.9546 |
| 2.25 | 0.9756 |
| 2.50 | 0.9876 |
| 2.75 | 0.9940 |
| 3.00 | 0.9974 |
| 3.25 | 0.9988 |
| 3.50 | 0.9996 |
| 3.75 | 0.9998 |
Hold
Although I do not mention hold percentages on my site the term is worth defining because it comes up a lot. The hold percentage is the ratio of chips the casino keeps to the total chips sold. This is generally measured over an entire shift. For example if blackjack table x takes in $1000 in the drop box and of the $1000 in chips sold the table keeps $300 of them (players walked away with the other $700) then the game's hold is 30%. If every player loses their entire purchase of chips then the hold will be 100%. It is possible for the hold to exceed 100% if players carry to the table chips purchased at another table. A mathematician alone can not determine the hold because it depends on how long the player will sit at the table and the same money circulates back and forth. There is a lot of confusion between the house edge and hold, especially among casino personnel.
Hands per Hour, House Edge for Comp Purposes
The following table shows the average hands per hour and the house edge for comp purposes various games. The house edge figures are higher than those above, because the above figures assume optimal strategy, and those below reflect player errors and average type of bet made. This table was given to me anonymously by an executive with a major Strip casino and is used for rating players.
Hands per Hour and Average House Edge
| Games | Hands/Hour | House Edge |
|---|---|---|
| Baccarat | 72 | 1.2% |
| Blackjack | 70 | 0.75% |
| Big Six | 10 | 15.53% |
| Craps | 48 | 1.58% |
| Car. Stud | 50 | 1.46% |
| Let It Ride | 52 | 2.4% |
| Mini-Baccarat | 72 | 1.2% |
| Midi-Baccarat | 72 | 1.2% |
| Pai Gow | 30 | 1.65% |
| Pai Pow Poker | 34 | 1.96% |
| Roulette | 38 | 5.26% |
| Single 0 Roulette | 35 | 2.59% |
| Casino War | 65 | 2.87% |
| Spanish 21 | 75 | 2.2% |
| Sic Bo | 45 | 8% |
| 3 Way Action | 70 | 2.2% |
Footnotes
* — House edge based on Ante bet only as opposed to all mandatory wagers (for example the Blind in Ultimate Texas Hold 'Em and the Super Bonus in Crazy 4 Poker.
Translation
A Spanish translation of this page is available at www.eldropbox.com.
Written by: Michael Shackleford
Which casino games have the lowest house edge? That seems to be the question most new casino gamblers are interested in when they first learn about the concept of the house edge.
It’s not a bad question, but it ignores nuance. There’s more to deciding on which casino games to play than just finding the lowest house edge. This post explains why.
What Is the House Edge and Why Does It Matter?
If you’re going to play casino games, you should understand the concept of the house edge. If you don’t understand the house edge, you have no business putting any money down on a casino game at all.
The house edge is the reason why casinos stay in business. It’s the difference between your probability of winning and the amount you win when you do win.
Here’s an ExmampleSuppose I offered you an even money bet. You wager $100, and I put up $100 of my own. Now, suppose that we’re betting on the outcome of a coin toss.
We both have the same probability of winning—50%. In the long run, we’ll both break even. But suppose I had a special coin that was weighted on one side so that it came up on the other side 55% of the time instead of 50% of the time?
If I bet on that outcome consistently, I would have a mathematical edge over you. In the long run, I’ll win all the money eventually. That’s how the house edge works.
The classic example is an even money bet on the roulette wheel. You have a 47.37% probability of winning, and you have a 52.63% probability of losing.
In the long run, the casino will eventually win all your money.
What’s an Example of a High House Edge Compared to a Low House Edge?
The house edge is a statistical average. It represents how much of each bet you’re mathematically expected to lose in the long run.
If I say that the house edge is 5%, and you’re betting $100 on each outcome, you’re expected to lose an average of $5 every time you place that bet in the long run.
Casinos are automatically playing in the long run, by the way. They’re dealing blackjack 24 hours a day to eight people per table, and they usually have multiple tables going at the same time.
They’re dealing in thousands and tens of thousands of hands per day, so their results eventually start to resemble the statistically expected results.
You might sit down at a full blackjack table and only play 50 hands. That’s the short run. You might walk away a winner, or you might lose far more than expected. That’s variance. That’s what happens in the short run.
What’s high and what’s low? To some extent, that’s an arbitrary decision that you’ll make about what’s acceptable to you.
The lowest house edge in the casino is 0% on the odds bet in craps. But you can only make that bet if you’ve already placed a pass or don’t pass bet. The next lowest house edge in the casino is usually less than 0.5%.
This is available on some blackjack tables or on some video poker games. But only if you play with the correct strategy. If you make mistakes at blackjack or video poker, the house gets a higher edge against you as much as 2% or more.
The highest house edge in the casino is on games like keno, where the house edge might be 35% or higher. Any bet where the house edge is higher than 10% is unacceptable to me, but you might not care.
I don’t want to place a bet where I’m expected to lose 10% of it on average, though. I need more entertainment for my money.
Sometimes the House Edge in Blackjack Is Under 1%
Every casino game has a simple gimmick that provides the casino with its mathematical edge. In blackjack, this gimmick is simple enough. You must play your hand before the dealer plays her hand.
Why does that matter? It matters because if you bust, you lose your bet immediately.
If it were a fair game, you and the dealer would both resolve your hands after all the action is resolved, like you do in poker. If you bust, you lose your bet, even if the dealer busts, too.
Blackjack also has a bunch of other rules variations that can change from game to game and from casino to casino.
For ExampleSome blackjack variations are dealt from eight decks instead of just one. This gives the casino a higher house edge.
Casino Games With The Lowest House Edge
Some blackjack games pay out a blackjack at 6:5 instead of 3:2, reducing the house edge dramatically.
The most important thing affecting the house edge in blackjack, though, is how you play your hands. Every situation in blackjack has a mathematically optimal solution. In some cases, the correct play gives you a positive expectation. In those cases, you want to choose the decision which maximizes that expectation. In other cases, the correct play minimizes the negative expectation.
A hard hand of 15 or 16 has a negative expectation no matter what, but it gets worse when you make the wrong decision. The correct play in every situation is called basic strategy. Blackjack with basic strategy is one of the lowest house edge games in the casino.
The House Edge in Craps Is Surprisingly Low
One of the things I love about craps is that I don’t need any skill at decision-making to enjoy a low house edge. Well, almost no skill at decision-making… I still need to choose the right bets.
Luckily, the bets with the lowest house edge at the craps table are the most basic bets on the table. The pass line bet, the don’t pass bet, the come bet, and the don’t come bet all have a house edge lower than 1.4%.
And the odds bet has no house edge at all. Many of the other bets at the craps table are awful. The proposition bets often have a house edge greater than 10%, making them some of the worst bets in the casino.
Still, for a game where you don’t need to make decisions about how to play a hand of cards, craps is the best bet in the casino.
Some Video Poker Games Have a Low House Edge, But Not All
Gambling writers often point to video poker as having the best house edge in the casino, but that’s a little more of a generalization than I’m comfortable with.
Some video poker games with the right pay tables DO have a low house edge, but only if you understand and use the optimal strategy for playing each hand.
In that respect, video poker is like blackjack. Video poker, like slot machines, measures its odds with something called “payback percentage” instead of house edge. It’s the mirror image of the house edge, though. It’s the amount of each bet that the casino expects to pay out in winnings.
If you subtract the payback percentage from 100%, you get the house edge for the game.
With the right pay table, you can play video poker games with a house edge of around 99.5% or 99.7%, which means that the house edge is between 0.3% and 0.5%.
That still assumes mathematically optimal play, though. And you must be able to distinguish between pay tables, too. Still, video poker is always a better choice than a slot machine.
Which Games Have the Worst House Edge?
Craps made the list of games with a great house edge, but it also belongs on the list of games with the worst house edge. That’s because many of the prop bets have a house edge of 10%, and some of them come close to 20%.
Casino Games With The Lowest House Edge
Keno is notable for having a house edge of 35% or more. It’s basically a privately-run lottery administered by the casino. You would expect it to have a high house edge.
Big Six (aka the Wheel of Fortune, not to be confused with the game show or the slot machine), has a house edge of over 15%, too. Sic bo has a high house edge, but it varies based on which bets you place. None of their bets are good, though.
Roulette, as it’s played in most casinos, has a house edge of 5.26%. Slot machines are the biggest money-grabs. The house edge might only be 5% or 10%, but the amount of action you get in per hour makes that a costly proposition.
Which Casino Games Should You Play?
That’s up to you. Some gambling writers will tell you to only play casino games with a low house edge. But in the long run, philosophically and practically speaking, it probably doesn’t matter much. If you play long enough in a game where the house has an edge, you’ll eventually lose all your money.
Don’t account for just the house edge when choosing a game. Think, too, about how much entertainment a game provides.
It’s easy to tell someone to switch from slot machines to blackjack because blackjack offers better odds. But what if you hate playing cards?
Conclusion
If you’d like to know which casino games have the lowest house edge, just see the numbered list below.
- Blackjack
- Craps
- Video poker
If you’re wondering which casino games have the highest house edge, see the numbered list below.
- Big Six
- Craps
- Keno
What does that mean to the average gambler? Well, not as much as you might think. There’s strategy and betting opportunities to consider. Just keep in mind that the house edge is higher for some games and lower for others when you’re gambling online.