House Edge and RTP: What is the Difference?

Online Casino

Gambling has been around for centuries and is enjoyed by people all over the world. From playing cards in a mobile casino online to betting on sports, gambling can be an exciting way to pass time and potentially win some money. However, it is important to understand the risks associated with gambling before you decide to take part. 

Knowing the difference between house edge and return-to-player (RTP) rates can help you make informed decisions about where to place your bets and how much money you are willing to risk. This article will explain both concepts so that you can gamble responsibly with knowledge of what your chances of winning or losing might be.

House Edge Explained

House edge is an essential concept in online casinos such as Woocasino online and is used to refer to the mathematical advantage that casinos have over players. It is calculated as a percentage of the player’s wagers and determines how much money a casino can expect to make over time.

This variable is determined by the rules of the specific game, so games with more favorable rules for players tend to have a lower house edge. For example, for the basic game of blackjack, it should be around 0.5%, while American roulette has a much higher house edge of 5%.

RTP Explained

RTP or Return to Player is a term used in the gambling industry to describe the percentage of money returned to players. It is an indication of the average rate at which players can expect to win back their original stake and more over a certain period, usually expressed as a percentage. The higher the RTP (Return-to-Player) percentage, the better the odds for players in terms of potential winnings.

It is very easy to calculate the RTP knowing the House Edge and vice versa. This is simple mathematics. The House Edge is calculated by subtracting the RTP from 100%. Conversely, the latter is calculated by subtracting the former from 100%. For instance, if a game has a House Edge of 5%, then its RTP would be 95%. The relationship between the two concepts can also help players understand what games offer better returns and which ones should be avoided more carefully.

Types of Games with the Highest RTP

Online casino games with the highest RTP offer players greater chances of winning more money. The Return to Player (RTP) is a number that defines how much the casino pays out for every dollar wagered. The higher the RTP, the better chance you have of coming out ahead in your gaming session.


Slots are one of the most popular online casino games, and for good reason. Slots often have some of the highest RTPs in the industry, with many games offering upwards of 95% RTP or more. And these best crypto betting sites by Men’s Journal even have slot titles with RTP of 98% and more.


Blackjack is another popular casino gaming option that can boast high RTPs. This table game often features an RTP of 98.5%, meaning a player has almost even odds against the house with every hand they play. 


Roulette also offers decent RTPs, depending on which variant you choose. European Roulette typically features an RTP of 97.3%.


Understanding the difference between the House edge and RTP is essential for any gambler who wants to maximize their chances of winning. Knowing how these two concepts work can help you make informed decisions when it comes to choosing which games to play, as well as identifying games with a higher return on your investment. 

When combined with other strategies such as bankroll management and game selection, understanding house edge and RTP will give you a better chance of achieving success in online gambling. So if you want to be successful at playing your faves, take some time to learn about the differences between these concepts so that you can make more profitable decisions while still enjoying yourself!


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