1. What is Implied Probability?

Implied probability represents the conversion of betting odds into a percentage that shows the likelihood of an outcome occurring according to the bookmaker's assessment. It accounts for the bookmaker's margin (overround).

2. How Does the Calculator Work?

The calculator uses the implied probability formula:

Where:

• Decimal Odds — The betting odds in decimal format (e.g. 2.50)

Explanation: The formula converts the decimal odds into a percentage probability. For example, decimal odds of 2.00 imply a 50% chance (1/2.00 = 0.50 or 50%).

3. Importance of Implied Probability

Details: Understanding implied probability helps bettors assess whether a bet offers value by comparing it to their own assessment of the true probability of an outcome.

4. Using the Calculator

Tips: Enter the decimal odds (must be 1.01 or higher). The calculator will display the implied probability as a percentage.

5. Frequently Asked Questions (FAQ)

Q1: What are decimal odds?
A: Decimal odds represent the total payout (including stake) per unit bet. For example, 2.50 means you get $2.50 back for every $1 wagered (including your $1 stake).

Q2: How does implied probability differ from true probability?
A: Implied probability includes the bookmaker's margin, while true probability is the actual chance of an outcome occurring.

Q3: What does 100% implied probability mean?
A: In theory, 100% would mean a certain outcome, but in practice, the sum of all outcomes' implied probabilities will exceed 100% due to the bookmaker's margin.

Q4: How can I use implied probability for betting?
A: Compare the implied probability to your own assessment - if your probability is higher, the bet may have value.

Q5: What's a typical bookmaker margin?
A: Margins typically range from 2-10% depending on the bookmaker and market.