I promised converting decimal odds to implied probabilities was easy. So here we go. Fractional odds, often used by British and Irish bookmakers, can also be converted to decimal odds to understand potential profit in betting scenarios.
1 / Decimal Odds
That’s it! Decimal odds explained for you.
What’s the implied probability of the Dolphins at +160 (or 2.5 in decimal odds)? 1 / 2.6 = 38.5%
The Bills at -200 (or 1.5 in decimal odds) would have an implied probability of 66.6%. 1 / 1.5 = 66.6%
Use the links to jump to each section.
- Calculating Payouts
- Why Use Decimal Odds?
- Convert Decimal Odds to Probability
- Converting American to Decimal
- Converting Decimal to American
- Should I Switch?
Calculating Payouts with Decimal Odds
Calculating payouts with decimal odds is simple.
Just multiply your wager by the decimal odds, and you're done.
Money Risked * Odds = Total Payout
Let's say you want to bet $10 on the Miami Dolphinsmoneyline (+160 in American odds) against the Buffalo Bills. In decimal odds, Miami will be 2.6.
$10 x 2.6 = $26
That $26 represents the $16 you'd profit from a Dolphins win, plus your original $10 back.
Your pal Norman wants to bet $10 on the Bills moneyline (-200 in American odds) in that same game. In decimal odds, that would be 1.5.
$20 x 1.5 = $30
If the Bills win, he'll get $20 back and profit $10 for a total of $30.
If you would like to learn more about betting on football, here is a recommended resource list to help you bet smartly:
- How to Bet on Football Guide
- Check our Expert NFL Picks
- Bettors can keep an eye on betting activity and distribution with our NFL Public Betting data.
Why Use Decimal Odds?
The biggest reason to switch to decimal odds is because the conversion to probabilities is so easy. It’s the same whether you’re working with an underdog or favorite. Additionally, understanding different odds formats, such as American and Decimal odds, is crucial for bettors to calculate their returns accurately.
European odds, also known as decimal odds, are popular and user-friendly because they include the total payout in the odds number, making them easier to understand and calculate.
Converting American odds to implied probabilities requires slightly different formulas for favorites and underdogs.
For decimals, it’s the same no matter what you’re betting.
Another reason to use decimal odds is that they're based around betting $1 and scale up and down easily, instead of being based on betting $100 like American odds.
How to Convert Decimal Odds to Implied Probability
I promised converting decimal odds to implied probabilities was easy. So here we go.
1 / Decimal Odds
That's it!
What's the implied probability of the Dolphins at +160 (or 2.5 in decimal odds)?
1 / 2.6 = 38.5%
The Bills at -200 (or 1.5 in decimal odds) would have an implied probability of 66.6%.
1 / 1.5 = 66.6%
Converting American Odds to Decimal Odds
Here, we will look at converting American to decimal odds.
Decimal odds start to look familiar when you’ve seen them enough.
For example, an NFL point spread at -110 is 1.91. That will become second nature quickly.
But at first, you’ll need to do some conversion, especially for favorites. You can use our odds converter, or do it by hand.
To convert fractional odds to decimal odds, add one to the result of dividing the numerator by the denominator. For example, 5/2 fractional odds convert to 3.5 in decimal odds (1 + 5/2).
Here’s the math: For Positive Odds:* 1 + (American odds / 100)* Let’s say you have American odds of +160 on the Dolphins. It’s easy enough.
1 + (160/100) = 2.6
For Negative Odds:* 1 – (100 / American Odds)* So converting the Bills from -200 is slightly different.
1 – (100/-200) = 1.5
Converting Decimal Odds to American Odds
If you still want to use American odds but only see a line in decimal odds at a European sportsbook, you can make the conversion.
To convert a decimal of 2.00 or higher: (Decimal odds – 1) * 100
In our Bills-Dolphins example, you'd plug 2.6 into the following formula to convert back to American odds.
(2.6 – 1) * 100 = +160
To convert a decimal of less than 2.00: (-100) / (Decimal Odds – 1)
For the Bills at 1.5, you'd do:
(-100) / (1.5 – 1) = -200
Should I Switch to Decimal Odds?
U.S. sportsbooks will default to show American odds, but you can switch to show decimal odds instead. It’s usually in the top right corner once you’re logged in. This option is particularly beneficial for sports bettors who want a clearer understanding of their potential payouts.
It’s a personal preference, but if you’re serious about using basic math like implied probabilities when you bet, decimal odds will save you the extra conversion steps. A winning bet is calculated by multiplying your stake by the decimal odds, which directly shows your total payout, including the original stake.
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