Parlay Explained

Dec 17, 2019 In short, a parlay bet is a way of combining single bets, but with larger, overall odds, seeing as each individual bet must win for the parlay to pay out. The lure of a larger payout makes this. Sep 29, 2020 Parlay betting is a fun way to combine multiple bets. Famously referenced in the Oscar-nominated film Silver Linings Playbook, a parlay bet is a bet on top of another bet. To win the parlay, you have to win both bets. However, a parlay can still win if a game is tied or canceled.

Parlay betting is the second most popular betting option at the sportsbooks, after the straight bet. It offers the bettor a chance to win big while risking very small amounts of money, but naturally, the chances for a successful bet are much smaller, as compared to the straight bet. The parlay is not for everyone, but for those interested in this betting option at your favorite sportsbook, here you can learn more about how the parlay works, after we explain parlay betting.

Parlay explained

This bet option is very simple - the parlay is a single bet on two or more games at the same time. Unlike the straight wager, where the player bets on the outcome of a single game, for example, which team will win or if a team will cover the spread, with parlay betting the sportsbook customer wagers on multiple games (or events) at the same time.

How Parlay works

In order to place a parlay bet, the bettor selects two or more events. For the purpose of this guide, let's assume that the customer of the sportsbook chooses to place a parlay bet on the winners of 3 NFL games. In order for this bet to be a winner, all three games must be guessed correctly. If the bettor predicts just one of those games incorrectly - the entire parlay is graded as a loss.

Clearly the risk of this type of wager is much higher, compared to the straight bet, where you must correctly guess the outcome of just one game, whereas here all three games must be winners for the parlay to pay out. On the bright side, to compensate the higher risk, the reward of a parlay is much higher.

How is the payout of a parlay calculated? The payout of a parlay is calculated by multiplying the lines of each game together. This is best illustrated if we use decimal odds, instead of the American odds. For example, if all three NFL games from our previous example pay out on decimal odds of 2.10, if you placed a straight bet on each and they all come out winners, you would get $2.10 for every $1 bet. So if you straight bet $10 on each game, you will get the total of $63 ($21+$21+$21). But if you opted out to bet those $30 on the three football games as a parlay bet, your total win will be $277.83, i.e. (2.10*2.10*2.10*$30), or the multiplied odds for each game then multiplied by the risk amount.

If using American odds (like +110 or -220), calculation of parlay payouts becomes very complicated, but the sportsbooks do this for you, so you really don't have to bother with the math. Of course, you can always use a free calculator or simply temporarily convert the display odds at the sportsbook to decimal, then do the simple multiplication yourself, and when you are done - convert back tot he familiar display of American odds.

More about parlay betting

There are a few other interesting bits about parlay betting we feel we should note here. The first and most important is the handling of 'push' when grading parlay bets. Generally, when one of your games in a parlay results in a push, let's say the team score landed right on the point spread, that bet will be graded as push and simply removed from your parlay, reducing your parlay by one. For example, if you placed a 4-team parlay and one of the bets came out as push, your parlay is now down to being just a 3-game parlay, with the game resulting in push simply removed from said parlay bet. Keep in mind that if the push brings down your parlay to just one team - your entire parlay will be graded as push and your stake will be refunded.

Another point we would like to make is that with most sportsbooks it is possible to place a parlay on multiple sports. You are not limited to just betting on NFL games, for example, but can combine NFL games and soccer games, for instance, in the same parlay. The usual parlay rules apply here, as well.

And finally - try and keep your parlays short. A lot of people become fascinated with the huge payouts offered by the parlay bet and will often keep on adding to their parlay, mesmerized by the ever-increasing payout. Best, however, is to keep your parlays limited to 4 teams or lower. This way you still get to enjoy a rather large return on your stake, yet the probabilities of your parlay winning are kept within a reasonable frame.

<< Back to Betting Glossary

There are many types of bets, but the most common are: moneyline bets, spread bets, total bets, parlays, teasers and futures. In the beginning we will explain how to read betting lines and then we will deal with different types of bets.

Betting line

Betting line usually shows current odds or moneyline, point spread (handicap) and total for a particular event. For example we can have a line like this:

Sportsbooks can stuff a lot of numbers in a betting line and sometimes even don't indicate what they mean. When you learn what all these numbers mean you won't be confused any more.

The -170 and +150 are money lines which are used in moneyline bets.

The -6 and +6 are the point spread which are used in a spread bet.

The over 44 and under 44 are the total points which are used in the total bet.

The minus sign (-) always indicates the favorite. The plus sign (+) always indicates the underdog.

Moneyline betting

Betting Parlay Explained

Money line bets are on the winner of the event. In the example the -170 for the Patriots means that you have to risk $170 to win $100. The moneyline on the Bengals is +150 which means that a $100 bet on the Bengals would win $150, if the Bengals win the game. Of course when you bet $100 on the money line bet and win $150, you will receive $250 on payout.

Spread betting or point spread betting

Spread bet is a bet on score difference between two opponents. In the example above the Patriots are favored to win by 6 points and that is marked with -6 next to their name. So you can make two spread bets: 1) that the Patriots will win by 7 or more points or 2) that the Bengals will lose by 5 or less points. If the Patriots win by exactly 6 points, then the spread bets would be a push and the initial stakes would be paid back to the bettors. Usually with a spread bet the bettor stakes $110 to win $100.

Total bet

These are bets on the number of points scored in the game by both teams combined, including points scored in the overtime. In the example above the bettor bets whether the total points between the Bengals and the Patriots will be over or under 44. Like in the spread betting the odds are -110, that means risk $110 to win $100.

Parlay Formula Explained

Parlay

The parlay is a bet on multiple sports events in which all teams must win or cover for the bettor to win and yield huge payout. If just one game doesn't win you lose the entire bet. If one or more games end push then these games are ignored. If you win all other games you get paid according to the games you won.

Nfl Parlay Explained

Teaser bet

Parlay Betting Explained

A teaser is a special type of parlay in which the point spread on each game moves a particular number of points in the player's favor. Price of moving the point spread are lower odds.

Futures

Parlay Bets Explained

Futures are bets on future events. At the beginning of the season, the bookmakers give odds for teams who will win the championship. Futures are really difficult type of bet just for wise guys.