Little is known about the term VIG, and most punters, who focus on betting, are generally uninterested in how their wagers are charged. The word “Vigorish,” shortened to Vig, is a Yiddish term believed to originate from the Russian word “Vigorish.” The term Vig has several synonyms, including juice, under-juice, the cut, the margin, and the house edge, all referring to the same concept.
Definition of the Vig
The Vig is defined as the fee charged by a bookmaker for accepting a punter’s wager on a match or sportsbook event. This fee is usually displayed on the bet slip depending on your online betting provider.
For a given stake amount, a commission is charged by the bookmaker. This commission can vary, as there is no standard Vig rate across different bookmakers.
The Vig serves as a source of profit for online betting platforms and does not depend on the event’s outcome; it is charged whether you win or lose.
When bookmakers adjust their odds, calculations are made to include the Vig. As a result, the odds can be higher or lower depending on the Vig charged. The Vig is independent of the event outcome and is primarily used by bookmakers as a source of income.
Global Vig Commission Rates
In many parts of the world, including Africa, commission rates range between 2% to 6%, thanks to competitive betting markets. Bookmakers offer nearly unique charges to avoid losing customers in a competitive market. It is always wise to check these charges when reviewing a bookmaker.
However, the Vig is sometimes confused with the term overround, as both terms are closely related. Overround occurs when the sum of the total implied probabilities of each potential outcome exceeds 100%.
Example of Overround:
If a bookmaker assigns Liverpool a 62% chance of winning a match and Leicester City a 43% chance, the total exceeds 100%. Adjusting the overround allows bookmakers to increase or decrease the Vig on the betting line.
Differences Between Vig and Overround
While their functions are similar, Vig and overround are not identical. The overround determines whether the Vig should increase or decrease. Odds are not an exact representation of what bookmakers expect to happen, as the Vig is not included in the betting line like the overround is.
Understanding the Standard Vig on Your Sportsbooks
Since the Vig charged varies from one event to another and depends on the type of wager, here’s an easy way to identify the cut on particular sportsbooks.
Totals involving over/under goals usually have equal odds, meaning you must risk the same amount on the wager regardless of the favorite to win. The Vig in this sportsbook line is generally standardized and applies to most events.
However, the standardized Vig on over/under goals offers a simple way to compare general rates, giving you an idea of how different sportsbooks charge their Vig.
The Vigorish Variations
Odds change when more money is wagered. To balance potential payouts on each side and prevent exposure risk, bookmakers may adjust the odds. These precautions ensure that the house can still profit from the sportsbook event while being able to pay out winnings.
Understanding the Vig Commission
Little is known about the term VIG, and most punters, who focus on betting, are generally uninterested in how their wagers are charged. The word “Vigorish,” shortened to Vig, is a Yiddish term believed to originate from the Russian word “Vigorish.” The term Vig has several synonyms, including juice, under-juice, the cut, the margin, and the house edge, all referring to the same concept.
Definition of the Vig
The Vig is defined as the fee charged by a bookmaker for accepting a punter’s wager on a match or sportsbook event. This fee is usually displayed on the bet slip depending on your online betting provider.
For a given stake amount, a commission is charged by the bookmaker. This commission can vary, as there is no standard Vig rate across different bookmakers.
The Vig serves as a source of profit for online betting platforms and does not depend on the event’s outcome; it is charged whether you win or lose.
When bookmakers adjust their odds, calculations are made to include the Vig. As a result, the odds can be higher or lower depending on the Vig charged. The Vig is independent of the event outcome and is primarily used by bookmakers as a source of income.
Global Vig Commission Rates
In many parts of the world, including Africa, commission rates range between 2% to 6%, thanks to competitive betting markets. Bookmakers offer nearly unique charges to avoid losing customers in a competitive market. It is always wise to check these charges when reviewing a bookmaker.
However, the Vig is sometimes confused with the term overround, as both terms are closely related. Overround occurs when the sum of the total implied probabilities of each potential outcome exceeds 100%.
Example of Overround:
If a bookmaker assigns Liverpool a 62% chance of winning a match and Leicester City a 43% chance, the total exceeds 100%. Adjusting the overround allows bookmakers to increase or decrease the Vig on the betting line.
Differences Between Vig and Overround
While their functions are similar, Vig and overround are not identical. The overround determines whether the Vig should increase or decrease. Odds are not an exact representation of what bookmakers expect to happen, as the Vig is not included in the betting line like the overround is.
Understanding the Standard Vig on Your Sportsbooks
Since the Vig charged varies from one event to another and depends on the type of wager, here’s an easy way to identify the cut on particular sportsbooks.
Totals involving over/under goals usually have equal odds, meaning you must risk the same amount on the wager regardless of the favorite to win. The Vig in this sportsbook line is generally standardized and applies to most events.
However, the standardized Vig on over/under goals offers a simple way to compare general rates, giving you an idea of how different sportsbooks charge their Vig.
The Vigorish Variations
Odds change when more money is wagered. To balance potential payouts on each side and prevent exposure risk, bookmakers may adjust the odds. These precautions ensure that the house can still profit from the sportsbook event while being able to pay out winnings.
The Importance of Vig in Online Betting
Adjusting the odds alters the Vig charged, affecting the overround to increase or decrease. However, less popular games with fewer bets tend to have a higher Vig commission because the house has less room for error on payouts. The higher cut rate acts as insurance for the bookie in case of unexpected results. Conversely, for popular events with more money at stake, the cut rate is lower.
The bottom line on the cut rate is that it varies depending on the specific betting line you are wagering on. Popular or high-traffic sportsbooks will have a lower Vig, whereas lines with fewer bets will have a higher cut. Essentially, the more money wagered, the less “juice” is charged.
How to Manage the Vig
To deal with the Vig effectively:
- Avoid betting on multiple games. Focus on fewer games or events to get lower Vig rates and consider the particular betting line you choose. Different sportsbook lines attract different juice rates.
- Check different bookies in your area for lower Vig offers. Established bookmakers often offer lower Vig charges compared to new bookies.
- Avoid betting lines prone to higher Vig rates. Opt for less juiced lines, like the popular total goals line. Punters have benefited more from these types of betting lines over the years.
- Take advantage of free bets, which usually do not incur Vig commissions. By selecting specific lines, you can enjoy easier profits.
Conclusion
Understanding how your bookmaker works is crucial. By getting inside their “head,” you can better navigate the Vig and make more informed betting decisions. The key is to be aware of the variations and strategically choose betting lines with lower Vig to maximize your potential returns.
