The House Edge is a widely used gambling term used to define the mathematical advantage that a casino has over players. As a gambler, this means that you will have to face a certain percentage loss over a period of time, and the casino will win a corresponding percentage of money over the same time. Therefore, it is very important for you to understand that you can win now and again but you certainly cannot hope to beat the casino in the long term.

What is House EdgeCasinos and other gambling establishments maintain varying percentages of house edge for the different games that they offer. This gives them the revenues needed to cover their operational costs which can be quite high given that gamblers get a very high level of service at these establishments. As a matter of fact, casinos make a lot of profits from games and not just recover their costs. Games such as blackjack, Keno or poker provide casinos with a huge amount of money.

Take the example of a poker machine located in any casino. If it has a house edge of 10% that means that 10% of all the money you wager, on average, is retained by the casino. The local government generally sets the minimum house edge but each casino has the option of deciding the level on its own. Therefore, in the instance mentioned above, the house edge set by the government might be 15%. Gambling game manufactures can programme the house edge into each machine very easily.

Poker machines are equipped with a Random Number Generator, also known as RNG. As the name indicates, it generates numbers purely at random when the game’s button is pressed. The RNG works on a computer programme and it is absolutely impossible for players to mess with it. The game manufacturer offers poker machines with inbuilt chips that ensure that certain numbers of losses are guarantees for a specific number of games.

Take the example of a Roulette game to understand more about house edge. The roulette wheel has 36 numbers in addition to a zero. Therefore the ball can stop at one of 37 places, which is a mathematical odd of 1 in 37. However, if the house pays out 35 to 1 this means that the casino will always win in the long term with a house edge of 2.7%.

It is a fact that you will lose money if you gamble a lot since the house edge will conspire against you. Even if you get lucky in the short term, you will certainly lose money in the long term. This also means that you should stop playing after you have won a few times so that you do not lose it back to the casino which is what will inevitably happen if you gamble for a long time. As long as you are aware of this fact and are disciplined in your approach to gambling then you will win money and also enjoy yourself tremendously while gambling.

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