What Is the House Edge?

The house edge is the casino’s mathematical advantage, expressed as a percentage. It represents how much of each bet the casino expects to keep over time.

  • A 0.5% house edge means the casino expects to keep $0.50 for every $100 wagered
  • A 5% house edge means the casino keeps $5 per $100

Blackjack has one of the lowest house edges of any casino game — but only if you play correctly.


Where Does the Edge Come From?

The house edge in blackjack comes from one primary factor:

The player acts first. If you bust, you lose immediately — even if the dealer would have also busted.

In a theoretical game where both player and dealer bust, the result should be a push (tie). But in real blackjack, the player’s bust is resolved before the dealer even plays. This asymmetry is the house’s advantage.


House Edge by Player Skill

Player Type Approximate House Edge
No strategy (“plays by feel”) 3-5%
Mimics dealer (hits to 17) ~5.5%
Uses some basic rules 1-2%
Perfect basic strategy ~0.5%
Card counter (skilled) -0.5 to -1.5% (player advantage)

The difference between a casual player and a basic strategy player is enormous — roughly 10x more money lost without strategy.


How Rules Affect the House Edge

Every blackjack rule change shifts the house edge. Here’s how common rules impact you:

Rules That Help the Player (Lower Edge)

Rule Edge Reduction
3:2 blackjack payout Standard (baseline)
Dealer stands on soft 17 -0.20%
Double on any two cards Standard (baseline)
Double after split (DAS) -0.14%
Late surrender -0.08%
Re-split Aces -0.06%
Early surrender -0.39%

Rules That Help the Casino (Higher Edge)

Rule Edge Increase
6:5 blackjack payout +1.39%
Dealer hits soft 17 +0.20%
No doubling after splits +0.14%
No surrender +0.08%
8 decks vs. 1 deck +0.61%
No re-splitting +0.10%
Double on 10-11 only +0.18%

The Worst Rule: 6:5 Blackjack

The single most damaging rule change is 6:5 blackjack payouts instead of 3:2. This alone increases the house edge by 1.39% — nearly tripling it from the baseline.

Blackjack Payout On $10 Bet House Edge Impact
3:2 $15 Baseline
6:5 $12 +1.39%
Even money (1:1) $10 +2.27%

Always look for 3:2 tables.


Comparing Blackjack to Other Games

Game Typical House Edge
Blackjack (basic strategy) 0.5%
Craps (pass/come) 1.4%
Baccarat (banker) 1.06%
Roulette (European) 2.7%
Roulette (American) 5.3%
Slot machines 2-15%
Keno 25-30%

Blackjack offers the best odds of any common casino game — provided you use basic strategy.


Calculating the House Edge

The house edge is calculated by simulating millions of hands and averaging the results:

  1. Play every possible hand combination
  2. Use the optimal strategy for each
  3. Track total money wagered vs. total money lost
  4. House Edge = Total Lost ÷ Total Wagered × 100

For a standard 6-deck game with common rules:

  • Dealer stands on soft 17
  • Double on any two cards
  • DAS allowed
  • Late surrender
  • 3:2 blackjack payout

Result: approximately 0.43% house edge with perfect basic strategy.


How to Find the Best Games

Look for tables with these player-favorable rules:

  1. 3:2 blackjack payout (most important)
  2. Dealer stands on soft 17 (look for “Dealer Stands on All 17s”)
  3. Double on any two cards
  4. Double after split allowed
  5. Surrender available
  6. Fewer decks (single or double deck games have lower edges)

Avoid tables with 6:5 payouts, continuous shuffling machines, and 8-deck shoes with dealer-hits-soft-17 rules.