On the surface, casino bonuses appear to be very attractive. A site may provide you with sign up bonus, match your deposit amount (or offer something close), or give you a large number of free spins. The numbers for these promotions can sound enticing as well. However, there are usually additional costs involved with each of those numbers. The real cost behind the number will nearly always be much higher than you would think. If you do not understand the math associated with the numbers, it could easily mean that what was supposed to be a bonus will end up being nothing but an add-on to your losses.
Start With the Wagering Requirement
The wagering requirement in sweepstakes casinos in the United States is likely the most significant number associated with every casino bonus. It determines how many times you will have to make bets using your bonus money before any possible winning may be redeemed/withdrawn. Wagering requirements are normally presented as multipliers (i.e., 20x, 25x).
Calculating wagering requirements is relatively simple. For example if you were to receive an additional 100 Sweeps Coin bonus that has a wagering requirement of 30x; then you would be required to bet a combined 3000 Sweeps Coin for all possible winnings to be redeemable. This does NOT mean you will spend $3000 in cash at the table. Rather, it means you will run this same amount of value through games where you win & lose to help meet this requirement.
Players often find themselves confused when they assume it is easy to satisfy wagering requirements. With an average RTP of 96%, completing 3,000 wagers for this type of requirement can result in an estimated loss of about 120 coins in addition to what was lost playing games. Lower RTP games cause the player to lose even more. Completing the wagering requirement does not come free.
How RTP Affects Bonus Value
Return To Player (RTP) refers to the theoretical percent of wagered monies paid back by a machine over long term (i.e., many spins). An example would be if you were playing a game with a 96% RTP. Over time this game will pay out an average of $0.96 for every dollar bet on it. While each spin has a wide range of possible outcomes in terms of how much the player wins/loses, it is still the appropriate measure to calculate the value of bonuses.
To estimate the cost of clearing a bonus there are very few calculations needed.
- Determine the total amount required to meet the wagering requirements.
- Multiply that number by the house edge (which is simply 100% – the RTP).
- The product from above represents the theoretical average cost to complete the bonus requirements.
An example would be; a wagering requirement of 3000 coins for a 96% RTP machine means on average it will take approximately 120 coins to fulfill that requirement (3000 * .04 = 120). As another example, a wagering requirement of 3000 coins for a 92% RTP machine will require on average 240 coins (3000 * .08 = 240).
As one can see based upon the numbers, it is generally always the best strategy to attempt to play higher RTP machines first to achieve your wagering requirements.
Bonus Value at a Glance
| Bonus Amount | Wagering Requirement | Total to Wager | RTP | Expected Clearance Cost |
|---|---|---|---|---|
| 100 SC | 20x | 2,000 SC | 96% | ~80 SC |
| 100 SC | 30x | 3,000 SC | 96% | ~120 SC |
| 100 SC | 40x | 4,000 SC | 96% | ~160 SC |
| 100 SC | 30x | 3,000 SC | 92% | ~240 SC |
| 200 SC | 25x | 5,000 SC | 96% | ~200 SC |
| 50 SC | 10x | 500 SC | 96% | ~20 SC |
What Makes a Bonus Actually Good
Most people judge bonuses based upon the size of the headline that is displayed. A better approach evaluates three numbers as one; the Bonus amount (how much), the Wagering requirement multipliers (what you have to do in order to cash out your winnings) and how much of each dollar you get back in the long run when clearing this wagering requirement using an RTP Game. Frequently times a lower bonus with less wagering required for a higher RTP Game will be more valuable than a larger bonus like $200 signup bonus with 200 free spins. At sweepstakes casinos, the same principles apply but since you are working with sweeps coins instead of real money, the bonus still has value. As they can be used to redeem for cash or other prizes. The no purchase model makes any sweeps coin allocation you receive free have real upside if the wagering terms are reasonable.
Key Terms Summary
| Term | What It Means | Why It Matters |
|---|---|---|
| Wagering requirement | Times you must play through the bonus | Cost to unlock winnings |
| RTP | Wagers returned to players over time | Affects clearance cost |
| House edge | 100% minus RTP | Average cut per wager |
| Game contribution | How much each game type counts toward wagering | Determines efficient games to use |
| Max win cap | Ceiling on winnings during wagering | Limits bonus upside |
| Expiry window | Time limit to clear the bonus | Short windows cut real value |
The Simple Rule
If you could distill just about anything out of reading the article above that would probably be: calculate your Total Wagering Requirements and RTP% for all of the games in which you plan to gamble; then subtract the Bonus Value; this will give you an approximation of how much you have to gamble to “clear” your bonus.
The basic rule-of-thumb on this is as follows: if the result of said calculation is greater than the bonus amount itself then the bonus offer does not offer value. Conversely, if the result of said calculation is less than the bonus amount and the time frame given to clear the bonus is reasonable then the bonus offers some value.