An each-way bet is two bets in one: half your money goes on the selection to win, and half goes on it to finish in the places. It costs twice the unit stake, and it pays out on two different conditions, which is why the maths trips people up more often than any other bet type.
This guide explains how each-way works, how many places are paid and at what fraction of the win odds, two worked examples with real numbers, and why the British each-way terms you see quoted online do not carry across to betting in New Zealand.
What this article answers: What an each-way bet is, how many places are paid and at what fraction, how to work out the return, and how each-way compares with the win and place betting offered in New Zealand.
Main points
- An each-way bet is two equal stakes: one on the win, one on the place. A $10 each-way bet costs $20.
- The place half is settled at a fraction of the win odds, usually a fifth or a quarter, over a set number of placings.
- How many places are paid depends on the size of the field and whether the race is a handicap.
- A place-only finish only shows a profit if the place price is better than 2.00, which needs a win price above 6.00 at fifth-odds terms.
- TAB NZ offers fixed-price win, place and each-way bets as well as tote pools, but it sets its own place prices rather than paying a fixed fraction of the win odds, so British each-way terms do not transfer.
What an each-way bet actually is
When you ask for “$10 each way”, you are placing two separate $10 bets and handing over $20. The first is a straight win bet at the advertised price. The second is a place bet on the same selection, settled at a fraction of that price if the selection finishes inside the paid places.
The two halves are settled independently. If the selection wins, both halves pay. If it finishes second or third and the place terms cover that position, only the place half pays. If it finishes outside the places, both halves lose.
That is the whole idea: you are trading some of your win stake for a consolation if the selection runs well without winning. It is most commonly used in horse and greyhound racing, and it also appears in golf, darts and other outright markets with large fields.
How many places are paid, and at what fraction
Each-way terms are set by the field size and the type of race. The long-standing British and Irish terms below are the ones you will see quoted on most international sites, and they are the reference point for the fractions in this guide.
| Field size and race type | Places paid | Fraction of win odds |
|---|---|---|
| 2 to 4 runners | Win only, no each-way | — |
| 5 to 7 runners | 2 | 1/4 |
| 8 or more runners, non-handicap | 3 | 1/5 |
| 12 to 15 runners, handicap | 3 | 1/4 |
| 16 or more runners, handicap | 4 | 1/4 |
Two things follow from the table. First, each-way is not available in very small fields, because a place bet on a four-horse race would be close to a certainty. Second, the fraction matters as much as the number of places: a fifth of the odds on a 6.00 shot is worth far less than a quarter of the odds on the same price.
Turning a fraction into a place price
Decimal odds include your stake, so you cannot simply divide them. Strip the stake out first, apply the fraction, then add the stake back:
Place price = 1 + (win price − 1) × fraction
At a win price of 8.00 with fifth-odds terms, that is 1 + (8.00 − 1) ÷ 5 = 2.40. At quarter-odds it would be 1 + 7 ÷ 4 = 2.75.
Worked example 1: the selection wins
Say you back a horse at 8.00 in a 10-runner non-handicap, $10 each way. Field size means three places at a fifth of the odds, so the place price is 2.40. Total outlay is $20.
| Half of the bet | Stake | Price | Return |
|---|---|---|---|
| Win | $10 | 8.00 | $80.00 |
| Place | $10 | 2.40 | $24.00 |
| Total | $20 | — | $104.00 |
Note what the each-way structure cost you. A straight $20 win bet at 8.00 would have returned $160. Backing each way gave up $56 of upside in exchange for cover if the horse had only placed.
Worked example 2: the selection places only
Same bet, but the horse finishes third. The win half loses. The place half returns $10 × 2.40 = $24 on a total outlay of $20, so you finish $4 in front.
That thin margin is the point most people miss. For a place-only finish to show any profit, the place price has to be better than 2.00, because you are getting one return against two stakes. At fifth-odds terms that means a win price above 6.00; at quarter-odds it means a win price above 5.00. Back a 4.00 shot each way and a placed finish is a guaranteed loss, even though the bet “came in”.
The calculator below works out both halves for any price, fraction and result, including dead heats.
Each-way bet calculator
Enter the stake, the win price and the place terms to see what each half returns
Why British each-way terms do not carry across to New Zealand
Since 28 June 2025, TAB NZ has been the only operator allowed to offer online racing and sports betting to people in New Zealand. It offers each-way bets on racing, both at fixed prices and on the tote, but the place half is paid at TAB’s own place price or place dividend rather than at a set fraction of the win odds, so the “1/5, three places” shorthand does not describe what you actually get here.
On a tote, you back a runner to win or to place, and the dividend is not known when you place the bet. The pool is divided among the winning tickets after the takeout is removed, so the price moves with the money. Two consequences follow. A heavily backed favourite can return a place dividend barely above the minimum, and a well-supported outsider can pay far more than a fifth of its win price.
The number of placings paid also depends on the field. At TAB NZ a place bet normally pays on a top-three finish, fields of five to seven runners pay first and second only, and fields of fewer than five runners have no place betting. The race conditions shown alongside the market are the authority on any given race, and they are worth a glance before you bet rather than after.
TAB NZ’s help centre gives a worked example: a $50 each-way bet at 12.00 pays $800 if the runner wins, a $700 profit on the $100 outlay, because the win half returns $600 and the place half returns $200 at a place price of 4.00. The arithmetic in this guide still applies, you just take the place price from the board instead of calculating a fraction.
When each-way is worth considering, and when it is not
Each-way suits longer-priced selections in big fields, because the place fraction of a big price is still a useful number and the extra places give the bet room to work. It suits far less at short prices, where the place half cannot cover the doubled outlay.
- Reasonable: a 12.00 chance in a 16-runner handicap paying four places at a quarter. The place price of 3.75 returns a clear profit on a placed finish.
- Poor value: a 3.50 favourite each way. The place return of 1.50 at fifth-odds means a placed finish loses you money, so you are paying twice for a bet that only really wins one way.
- Worth checking: extra-place offers on big races. An extra place changes the terms materially, but only for the operator offering it, and usually only on that single race.
Whatever the price, the each-way decision is really a staking decision: the same money split across two outcomes rather than concentrated on one. Our odds explained guide covers turning a price into an implied chance, and the betting lines guide covers the handicap markets where the same trade-off appears.
How each-way bets settle in awkward cases
- Non-runners. If your selection is scratched, both halves are void and the full outlay is returned. If another runner is scratched, the field size can drop below a threshold and the place terms can be cut, sometimes after you have bet.
- Dead heats. If two runners dead heat for the last paid place, the place stake is halved and the reduced stake is paid at full odds. The calculator above handles this.
- Bonus bets. A bonus bet used each way normally returns winnings only, not the stake, on both halves. That changes the break-even maths completely.
Please read: This page is general betting information for readers aged 18 and over. It is not betting, financial or legal advice, and it does not encourage anyone to gamble. Since 28 June 2025, TAB NZ has been the only operator allowed to offer online racing and sports betting to people in New Zealand.
If gambling is causing problems for you or someone close to you, free and confidential help is available 24/7 from the Gambling Helpline on 0800 654 655 or free text 8006. The Problem Gambling Foundation also offers free counselling.
FAQs
How much does a $10 each-way bet cost?
$20. An each-way bet is two separate stakes of the same size, one on the win and one on the place.
How do I work out the place part of an each-way bet?
Take the win price, subtract 1, multiply by the fraction, then add 1 back. A 9.00 shot at fifth-odds gives a place price of 1 + 8 ÷ 5 = 2.60.
Can you lose money on an each-way bet that places?
Yes. If the place price is below 2.00, the place return is less than the two stakes you outlaid, so a placed finish still leaves you down. At fifth-odds terms that applies to any win price of 6.00 or shorter.
How many places does an each-way bet pay?
Under standard British and Irish terms, two places in fields of five to seven, three in fields of eight or more, and four in handicaps of 16 or more. The terms on your bet slip are the ones that count.
Can I bet each way in New Zealand?
Yes. TAB NZ offers each-way bets on racing, at fixed prices as well as on the tote. The place half is paid at TAB’s own place price or place dividend rather than at a fixed fraction of the win odds, and fields of fewer than five runners have no place betting.
What happens to an each-way bet if my selection is scratched?
Both halves are void and the full outlay is refunded. If a different runner is scratched, the field can shrink enough to reduce the number of paid places.
