How Do Odds Actually Work? (A.K.A. What the H*** Are the + and – All About??)

Our columnist gets into the numbers, laying out how betting odds work and what the h*** the plus and minus signs mean.

A lot of people get into sports betting because they love numbers and crunching them.

I got curious about sports betting because isn’t sports just Reality TV in its messiest, most dramatic, and most entertaining form? Featuring a cast of the biggest divas alive? (Just keep an eye out for flops next time you’re watching the NBA and tell me it’s not true.) Betting on the outcome of sports just put me more into the moment, more invested in the drama, and more clued in on the nuances between each character.

But at some point, even if you’re someone who writes for a living like me, you do end up crunching some numbers.

And if there’s one thing I hear a lot when people are just getting started with sports betting, it’s “What the f*** are all the plus and minus signs about?”

Like, I thought I left math behind when I tested out of it in college?

So, today, we’re crunching numbers and getting down to brass tacks.

Where the brass tacks are + and – signs.

Let’s Talk About Sports Betting Odds

Odds determine how much money you get back on a bet by discerning how likely any given outcome is.

So, if something is pretty dang likely to happen (e.g. Steph Curry will hit at least one three-pointer), the odds will be short and the payout low if you win.

If something is very unlikely to happen (e.g. the Houston Texans to win the 2023 Super Bowl, sorry to my cousins in Houston), the odds will be long and the payout high if you win. 

Rule of thumb: If you see a minus sign (-) in the odds, you’re looking at the favorite. If you see the plus sign (+), you’re looking at either the underdog or a bet that’s considered more likely NOT to happen.

This one took me a while because, honestly, a minus sign seems like it should be for losers, right? Not the case in betting. The plus and minus signs come from a simple tool to standardize odds.

From the Betting Ladies’ video guides series to sports betting betting.

American odds are listed based on the hypothetical idea of a $100 bet. For example, if you bet on the underdog (plus sign) at +200 odds, that means that if you put in $100, you’ll win $200 on top of that. Your bank account will get “+$200.” If you bet on the favorite (minus sign) at -200 odds, that means you have to put in $200 in order to make an additional $100. (You’ll also get your $200 back, of course.) Your bank account must sacrifice “-$200” if your goal is to win $100.

Again, the payout is smaller for betting on the favorite, but it’s a safer bet.

So, why is the Point Spread also listed with + and -?

The same favorite vs. underdog rule of thumb applies here. So, “Lakers -2.5” would mean the Lakers are favored to win by over 2.5 points (which really means they’d have to win by 3 since the NBA isn’t out here giving half points). If they win by 3, they’ve covered the spread. If they win by only 2, they haven’t covered the spread.

Honestly, I have no idea why the points themselves (rather than just the money) are listed with + and -, and I think it’s just to keep things simple since everyone has agreed that plus means underdog and minus means favorite.

Like I said, just always remember that Rule of Thumb.

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