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Gambling return rate explained: How to calculate your return

Gambling return rate explained: How to calculate your return

Gambling return rate explained: How to calculate your return

Tue Nov 28 2023 02:00:00 GMT+0000 (Coordinated Universal Time)

How much must you wager on a slot game to get paid back? The answer lies in the game's gambling return rate, or Return to Player (RTP) is the answer. This represents the payout percentage of casino games like slots. It is the statistical probability of winning back your wagers over time, which means the higher the RTP, the higher your chances of winning.


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Learn all about gambling dividend rates, their calculations, rankings and how you can use them to make money with profitable gambling in the coming sections.  

What is the gambling return rate? 

Gambling return rate = dividend paid out by the casino to players

Gaming providers set the RTP for online casino games, meaning online casinos like Bitcasino have no control over it. This allows you to play the same game on any platform with the same RTP.

A land-based slot game has a set Return to Player from 70% to 90%. When it comes to online slots, you will find games with higher RTPs, often at least 94%. 

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How to calculate the gambling return rate

Get the RTP of your chosen casino game by dividing the total value of money you received by the amount of funds you wagered on a certain game during a specific time or number of rounds.

To better understand, here’s how you can calculate the return rate using this formula:

Return rate = total dividend amount ÷ total amount of bet

For example, according to the calculation, if the RTP is 97%, the casino is anticipated to return US$97 for every US$100 wagered in the long-term, which can mean millions of rounds or spins.

What is the gambling deduction rate?

Besides the return rate, the gambling deduction rate is also crucial in casino gaming. Also known as house edge, this rate dictates the percentage of the casino’s profit.

To better understand the gambling deduction rate, here’s an example:

A blackjack game has a 9% house edge. This means, on average, for every US$100 you wagered, the casino operator keeps US$9 as profit and returns the remaining US$91 to you as winnings over time. 

Deduction rate = profit remaining in the hands of the operating company

If the house edge is not indicated, you can calculate it using the formula below:

 100 - return rate = deduction rate

Laws in public gambling return rates in Japan

Return rates of public gambling in Japan are known for being the lowest compared to other countries. This is because they impose a law for each public gambling activity. 

See the gambling return rate list in Japan below:

Gambling type

RTP

Law

Purpose of the Law

Lottery

45.7%

Winning Certificate Act

Procurement of local financial funds

Boat Race

74.8%

Motorboat Race Act

  • Promotion of the shipping industry

  • Increase in public interest

  • Improvement of local finance

Bicycle Race

75.0%

Bicycle Competition Law

  • Promotion of the machinery industry

  • Increase in public interest

  • Sounding of local finances

Auto Racing

74.8%

Small Car Racing Law

  • Promotion of the machinery industry

  • Increase in the public interest

  • Sounding of local finances

Horse Racing

74.1%

Horse Racing Law

Livestock promotion

Soccer Lottery (Toto)

49.6%

Act on the Implementation of Sports Promotion, Voting, etc.

Securing the financial resources necessary for sports promotion. 

Pachinko

around 85%

N/A

N/A

Based on the table above, public gambling in Japan has low return rates, with Soccer lottery (Toto) being the lowest, with less than 50%. They impose taxes on gambling games for different reasons, which explains the low return rates. Take horse racing, for example, wherein the 25% will be used for livestock promotion. 


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Gambling return rate ranking of public gambling activities

As mentioned above, Japan has a lower RTP than other places due to the laws it enforces. Here’s an overview of the return rates of gambling games and sports in Japan, ranked from highest RTP to lowest RTP:

Ranking

Types of gambling

Refund rate

Return if you bet 10,000 yen

1

Online casino

Approximately 97%

9,700 yen

2

Pachinko slot

Approximately 85%

8,500 yen

3

Horse racing

Approximately 76%

7,600 yen

4

Bicycle racing

Approximately 75%

7,500 yen

5

Boat racing

Approximately 75%

7,500 yen

6

Lottery

Approximately 45%

4,500 yen

Online casino games return rate ranking

A lot of players prefer to play in online casinos due to the wide variety of casino games with a higher return rate, such as blackjack, baccarat, roulette and more.

The amount you get back varies per game. Refer to the table below to see how they rank:

Ranking

Casino Game

Gambling Return Rate

1

Blackjack

approximately 99%

2

Baccarat

approximately 97%

3

Roulette

approximately 96.5%

4

Poker

approximately 96.5%

5

Video slots

approximately 93%

Looking at the table, blackjack casino games have the highest return rate with approximately 99%. On the other hand, video slots have the lowest, with approximately 93%. However, you can still find slot games with high RTPs, like progressive jackpot slots.

Gambling dividend rate of public gambling and online casinos

In the previous section, we can see that online casino games offer the highest return rate compared to other public gambling variations. To further elaborate, here’s an explanation of the gambling dividend rates for each type:

Horse racing return rate

The return rate for horse racing is approximately 76%, which means for every 10,000 yen bet, you can expect a 7,600 yen return in the long run. Compared to other public gambling, horse racing is among the highest. 

However, there are various betting methods in horse racing. This includes single wins, multiple wins and double horse betting, wherein the return rate can vary. 

Bicycle racing return rate

The return rate for bicycle racing is approximately 75%. When betting on this sport, you are gambling on the cyclist, so predicting the game can be challenging, and many factors can affect your return rate. When betting on bicycle racing, consider factors such as wind resistance and the athlete’s characteristics or performance history.

Boat racing return rate

The return rate of boat racing is approximately 75%, like bicycle racing. Its 25% gambling deduction rate breakdowns to:

  • Grant to Nippon Foundation: 2.6%
  • Race association grant: 1.3%
  • Holding expenses etc.

Just like bicycle and horse racing, several factors can impact the return rate. This includes boat conditions, weather, players and more.

Pachinko/slot return rate

Pachinko has the second-highest return rate (85%) next to online casinos. But you have to remember that the RTP is based on millions of rounds or spins in these games. It means you shouldn’t expect a guaranteed return of 85%. Instead, use it as a guide to increase your chances of winning in pachinko

Lottery return rate

The return rate of lotteries is around 45%. Its low return rate might be discouraging, but the jackpot prize is extremely high. Its high payout and low odds are why it’s difficult to win the lottery.

Online casino return rate

Online casino gambling has the highest return rate, with approximately 97%. This is because online casinos don’t have to pay the additional overhead costs brick-and-mortar slot machines have, such as personnel and house maintenance. 

Its higher return rate makes it a popular choice among gamblers. 


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Countries like Japan have laws and taxes that influence the payout rate of public gambling activities. If you win or lose in horse racing or boat racing, remember where the return rate percentage goes. But if you are looking for games that will give you big revenue, online casinos are the ideal choice. 

Bitcasino offers a wide selection of games where you have a high probability of turning the odds in your favour. You can find the lowest and highest RTP games on our live RTP page. Deposit today and get the chance to win slots, table games or live dealer titles at Bitcasino.

Frequently Asked Questions (FAQs)

Why gambling return rate is important?

The return rate indicates the amount of money you can win over time. With this, you’ll know which games can potentially give you returns.

What is the return rate at Japanese casinos?

The return rate varies per game. Check the table below:

Types of gambling

Refund rate

Online casino

Approximately 97%

Pachinko slot

Approximately 85%

Horse racing

Approximately 76%

Bicycle racing

Approximately 75%

Boat racing

Approximately 75%

Lottery

Approximately 45%

Why gambling at online casinos has a high return rate?

Online casinos have higher return rates than brick-and-mortar casinos since they don’t have to pay the additional overhead costs for slot machines, which need personnel and maintenance.

What are the chances of winning in gambling?

You can check the game’s RTP to know the chances of winning. You can find the indicated odds of winning on the game’s settings. 

What is the difference between the return rate and the refund rate?

There’s no difference between the two. Return rate and refund rate are the alternative names of RTP.

Words by: Barbara Menorias

Gambling return rate explained: How to calculate your return


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