What Is Vig in Sports Betting?

Sportsbooks have mastered the ability to make money regardless of the outcome of a sporting event. They do this by utilizing what is known as the “vigorish” or “vig,” which acts as a tax of sorts on winning wagers. 

On this page, we’ll explain how vig works at various sportsbooks and the ways it can impact your potential profit line. We will also offer strategies for reducing the impact of vigorish on your sports bets. 

What Is The Vig?

Also known as the juice, the vig (short for vigorish) is the tax sportsbooks charge for winning wagers. The vig percentage varies depending on the sport, bet type, time remaining in the game (while live-betting), and other factors determined by the bookie.

Most sportsbooks will set the midpoint of their odds at -110 (meaning a stake of the same size on either side would yield the same payout. Here is an example of the vig calculation at -110 odds:

• Outcome A: $110 wager at -110 odds
• Outcome B: $110 wager at -110 odds
• Total amount wagered: $220
• Payout to winning bettor: $210 ($100 profit + return of $110 stake)
• Sportsbook take: $10

Vig Percentage (Sportsbook take/sportsbook payout): $10/$210 = 0.0476 = 4.76% 

Note that smaller wagers will still see the same vig percentage as long as the -110 odds are constant. However, when the odds aren’t -110 on either side, the price of your bet will need to change to make the $100 profit. 

The other way to calculate the vig is to use the implied probability. Let’s look at another example, this time from the 2025 NCAA Men’s Hockey National Championship between Boston University and Western Michigan University.

FanDuel listed moneyline odds of Boston Terriers (-120) and Western Michigan Broncos (-110). 

Since both outcomes have negative odds, we use the formula:

• Absolute value of the odds/(absolute value of the odds +100) = implied probability

Thus

• Boston Terriers: 120/(120+100) = 120/220 = 0.545 = 54.5%
• Western Michigan Broncos = 110/(110+100) = 110/210 = 0.524 = 52.4%

By adding these percentages together, we get 106.9%. Finally, subtracting 100 gives us a total of 6.9%, which is the vig for the game. 

Here’s another example where one of the teams has positive odds on the moneyline. This time, the Colorado Rockies have +180 odds on the road against the San Diego Padres (-218), with odds from DraftKings.

With positive odds, the formula becomes:

• 100/(value of the odds +100) = implied probability

Thus

• Colorado Rockies: 100/(180+100) = 100/280 = 0.357 = 35.7%
• San Diego Padres: 218/(218+100) = 0.686 = 68.6%

Adding these percentages together totals 104.3. Subtracting 100 results in a vig percentage of 4.3%. 

Do All Sportsbooks Charge Vig?

Yes, all sportsbooks charge a vig in some capacity. However, some will adjust their odds in a way that reduces the vig, leading to a higher gambler profit margin (Circa Sports is one such operator). 

Promotions can also reduce the vig, especially through odds boosts. However, even with reduced vig, sportsbooks are still coming out ahead in the long run. 

If sportsbooks didn’t charge vig, it would be quite difficult for them to make a profit. 

How Can I Limit the Impact of Vig?

You can limit the impact of vig with the following tactics:

• Shop the odds: In nearly every piece on this website, we mention how important it is to shop the odds and find the best values for the wagers you’re backing. Using multiple sportsbooks will help increase the profit margins on your winning bets when odds differences are present. 
• Take advantage of sportsbook promos: Bonus bets, odds boosts, bet insurance, and profit boosts all reduce the vig by paying out more money on a win or limiting the impact on real-money funds in a losing scenario. You don’t need to place a wager simply because a promo exists, but when the opportunity arises and lines up with a bet you’re already planning to make, a bonus offer can tip the scales in your favor. 
• Place timely live bets: While live betting, timing is everything. Getting your bet placed before the odds change is a tough skill to master, but understanding game flow can lead to well-placed wagers before the vig changes.

Conclusion

Vig is always going to come into play as a sports bettor, but with an understanding of how vig works and ways you can reduce the impact, you’re more likely to make the money work in your favor (or prevent it from working against you). 

Remember that many factors can influence the vig, and vig percentages aren’t always the same across sportsbooks in your region. Shopping the odds reduces your exposure to financial risk and increases your profit margins on winning bets. 

Good luck, have fun, and always gamble responsibly!!