For traditional bettors, moving to a Betting Exchange (like Betfair, Matchbook, or Betdaq) can be confusing. The biggest hurdle is understanding the difference between “Backing” (betting for something to happen) and “Laying” (betting against something happening).
When you Lay a bet, you are effectively becoming the bookmaker. You offer odds to other people. This means your risk is not just your stake—it is your Liability. If you Lay a bet at high odds, your liability can be massive. Our Lay Betting Calculator is an essential safety tool that calculates exactly how much money you need in your account to place the bet, and what your net profit will be after the exchange commission.
Lay Betting Calc
How to Use the Lay Betting Calculator
To use this calculator effectively, you need to think like a bookie. Follow these steps:
- Enter Backer’s Stake: This is the amount of money you want to win (or the amount the other person is betting).
- Note: If you want to win $10, enter $10 here.
- Enter Lay Odds: Enter the pink/red odds shown on the exchange.
- Warning: Be very careful with decimal points. Laying at 4.5 is very different from Laying at 1.45.
- Set Commission: Enter the commission rate of your exchange (usually 5% for Betfair standard, 2% for Betfair promotions/Smarkets/Orbit).
- Check the Results:
- Liability (Red): This is the amount that will be “locked” from your balance until the bet is settled. If the selection wins, you lose this amount.
- Net Profit (Green): This is what you keep if the selection loses.
Related Tools: Laying a team is mathematically similar to betting on the Double Chance of their opponents. Check our Double Chance Calculator to compare odds. If you are Laying to lock in a profit from a previous bet, use our Hedging Calculator instead.
Real-World Examples: The Danger of High Odds
Understanding Liability is the key to not going bankrupt on an exchange. Here is the difference between laying a favorite and laying an outsider.
Example 1: Laying a Strong Favorite (Low Risk)
You don’t think Manchester City will win. You Lay them for $10 at odds of 1.50.
- Your Liability: $5.00.
- Scenario: You are risking $5 to win $10 (minus commission). This is a low-risk strategy often used in “Lay the Draw” systems.
Example 2: The “Outsider” Trap (High Risk)
You see a horse running at odds of 21.00. You think “It has no chance!” and you Lay it for $10.
- Your Liability: $200.00.
- Scenario: You are risking $200 just to win $10. If that long-shot horse wins, you lose $200 instantly. Always use the calculator to check this risk before confirming the bet.
Frequently Asked Questions (FAQ)
What is Liability in betting?
Liability is the amount of money you stand to lose if your Lay bet goes wrong. On an exchange, you cannot place a Lay bet unless you have enough money in your account to cover the Liability. It is calculated as: Stake × (Decimal Odds – 1).
What is the “Backer’s Stake”?
The Backer’s Stake is the amount the other person is betting. For you (the Layer), this is the amount you stand to win if the selection loses. Think of it as your target profit (before commission).
Why do exchanges charge commission?
Unlike traditional bookmakers, exchanges do not build a margin into the odds. Instead, they allow users to bet against each other at fair market prices and take a small percentage (Commission) of the Net Winnings. You generally do not pay commission on losing bets.
Is Laying the same as Cashing Out?
Partially. When you “Cash Out” on a standard sportsbook, the bookmaker is essentially placing a Lay bet on your behalf to close your position. By using an exchange and Laying manually, you can often achieve a “Manual Cash Out” with much better returns because you avoid the bookmaker’s cash-out margin.