\nSo I just got back from Paradise Island! My trip report will soon follow. I was playing some blackjack when a couple of tables down from me people start screaming. Since we were in the middle of a shuffle and I am stretching my legs, I wondered over to the table. It was a $25 Let It Ride table and a guy betting $25 minimum has just hit the Royal Flush. Staying in on all 3 bets, He has just won 500 – 1 on each bet plus a $37,000 bonus. After 25 minutes of scrutiny, I am watching them pay him out when I notice they pay him two separate payouts. 1 totaling the bonus bet and 1 totaling $20,000. Doing the quick math in my head, 500 x $75 = $37,500. I walk back over to my table and start chatting with the dealer who informs me there is a MAXIMUM payout per hand of $20,000 on all table games. So my question is, "Does this affect the house edge when playing this game"? I know the house edge is 3.51%. I would think that it does but I am just not sure!<\/p>\n
\tMichael<\/p>\n
Posted by:<\/strong> Skinny on August 16, 2013, 9:57 pm<\/p>\n "Mikvet88" wrote:<\/strong> So my question is, "Does this affect the house edge when playing this game"? I know the house edge is 3.51%. I would think that it does but I am just not sure!<\/p>\n \tMichael<\/p><\/blockquote>\n \n\tYes, it would raise the house edge by approximately 0.11%. It sounds like this was one of the alternate pay tables, not the standard ones used in the United States casinos. U.S. casinos typically pay 1000 to 1 for a Royal.<\/p>\n \tThe casinos that only pay 500 to 1 for a Royal have a house edge of either 3.43 or 3.74 depending on the pay out on the other hands.<\/p>\n \t[pre]House edge 3.43% 3.74%<\/p>\n \tRoyal Flush \t\t\t500\t\t\t\t500\t\t\t Posted by:<\/strong> MIDNIGHT on August 17, 2013, 2:48 pm<\/p>\n \tMichael<\/p><\/div>\n<\/div>\n Posted by:<\/strong> Skinny on August 17, 2013, 7:37 pm<\/p>\n "Mikvet88" wrote:<\/strong> Hey Skinny, \tMichael<\/p><\/blockquote>\n \n\tYes Michael, it does change the house edge. I mentioned above that it RAISES<\/span><\/u><\/strong> the house edge by approximately 0.11%<\/span><\/u><\/span><\/strong>. I then showed you 2 pay tables that are used that have a house edge of 3.43% or 3.74% if the top payout were 500 – 1.<\/p>\n \tWhen they short the player because of the maximum pay out of $20,000, it effectively reduces the pay out for a Royal Flush from 500 – 1 to 266.67 – 1. That increases the house edge to 3.54% or 3.85% depending on which of the 2 pay tables I showed were being used in that game.<\/p>\n \tFor those interested in the calculations involved here is the math:<\/p>\n \t[pre]Hand \t Pays Bet \tWin \tCombinations \tProbability \tReturn \n\tThe difference in the expected return is 0.2309% – 0.1231% = 0.1078%. \tThe pay outs on the other hands are not reduced in value since they are all less than 266.67 – 1. So the expected return for all other pay outs remain the same. But because the pay out for a Royal is reduced the expected value or return for that hand is lower and the house edge is increased accordingly.<\/p>\n \tI know a 0.11% house edge does not seem like a lot because it is only around 3% of the total house edge. But that is because the Royal Flush only contributes a little over 6% to the total house edge. When you cut the return almost in half by reducing the pay out from $37,500 to $20,000, you reduce the contribution to the house edge accordingly. You reduce that contribution from 6% of the total house edge to around 3% of the house edge and it only adds about 3% to the house edge. They are not impacting the other 95+% pay outs for the other hands by their limit on the maximum pay out. So that 95+% of the house edge does not change.<\/p>\n \tDoes this help you understand the answer to your question or have I made it more confusing? \ud83d\ude42<\/p><\/div>\n<\/div>\n Posted by:<\/strong> MIDNIGHT on August 19, 2013, 3:16 pm<\/p>\n \tMichael<\/p>\n \tPS: I am so vastly impressed with your knowledge and configurations. When writing my original post, I was hoping that you would have responded.<\/p><\/div>\n<\/div>\n Posted by:<\/strong> Skinny on August 19, 2013, 3:34 pm<\/p>\n "Mikvet88" wrote:<\/strong> However, I am assuming that that would change if you raised your bets so the payout on a smaller hand would put you over the $20,000. Thank you for the response.\n\t<\/p><\/blockquote>\n \n\tYou are welcome and your assumption is correct. I can not take all the credit for the data. I use Michael Shackleford’s website (wizardofodds.com) to get the initial data. Then I do my own calculations to adjust it for the specific question asked.<\/div>\n<\/div>\n Posted by:<\/strong> Timmer on August 22, 2013, 2:54 pm<\/p>\n "Skinny" wrote:<\/strong> I can not take all the credit for the data. I use Michael Shackleford’s website (wizardofodds.com) to get the initial data. Then I do my own calculations to adjust it for the specific question asked.<\/p><\/blockquote>\n \n\tSkinny is not only a great guy, but modest as well.<\/p>\n \tAnd he’s not even paying me to say that… \ud83d\ude09 <\/p>\n \t \ud83d\ude0e \ud83d\ude0e \ud83d\ude0e<\/p><\/div>\n<\/div>\n Posted by:<\/strong> MIDNIGHT on August 22, 2013, 3:22 pm<\/p>\n So I just got back from Paradise Island! My trip report will soon follow. I was playing some blackjack when a couple of tables down from me people start screaming. Since we were in the middle of a shuffle and…<\/p>\n","protected":false},"author":100,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[],"class_list":["post-5740","post","type-post","status-publish","format-standard","hentry","category-craps"],"_links":{"self":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/5740","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/users\/100"}],"replies":[{"embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/comments?post=5740"}],"version-history":[{"count":0,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/posts\/5740\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/media?parent=5740"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/categories?post=5740"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumarchives.tmsites.net\/index.php\/wp-json\/wp\/v2\/tags?post=5740"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\n\tStraight Flush \t \t\t100\t\t\t\t200\t\t\t
\n\tFour of a kind \t \t 25\t\t\t\t 50\t\t\t
\n\tFull House \t \t\t 15\t\t\t\t 11\t\t\t
\n\tFlush \t \t 10\t\t\t\t 8\t\t\t
\n\tStraight \t \t 5\t\t\t\t 5\t\t\t
\n\tThree of a kind \t\t 3\t\t 3\t\t\t
\n\tTwo pair \t\t\t 2\t\t 2\t\t
\n\tTens or better 1 1[\/pre]<\/div>\n<\/div>\n
\n\t What about the fact that they don’t even pay the 500 – 1 because of the $20,000 maximum payout? I know the house edge is figured on winning verses losing a particular hand. This guy WON the hand! So being that they are shorting him $17,500, does THAT chenge the house edge?<\/p>\n
\n\t What about the fact that they don’t even pay the 500 – 1 because of the $20,000 maximum payout? I know the house edge is figured on winning verses losing a particular hand. This guy WON the hand! So being that they are shorting him $17,500, does THAT chenge the house edge?<\/p>\n
\n\tRoyal Flush \t500 \t3 \t1500 \t 80 \t0.000002 \t0.002309
\n\tRoyal Flush 266.67 \t3 \t 800 \t 80 \t0.000002 \t0.001231[\/pre]<\/p>\n
\n\tThat rounds to a 0.11% increase in the house edge.<\/p>\n