Quick answer
An each way bet is two bets of equal size: one on your horse to win and one on it to place. A $10 each way bet costs $20. If the horse wins, both parts pay. If it runs second or third in a field of eight or more, only the place part pays. And because you’ve paid twice, placing at short odds can still lose money.
What you'll learn
- What each way means and what it really costs
- How many places are paid, by field size
- Worked payouts and an each way calculator
- When each way is good value, and when it isn't
“Each way” is one of the most common bets in Australian racing and one of the most misunderstood. Many people assume it’s a single bet that pays whether the horse wins or places. It’s actually two separate bets, which changes both what it costs and when it makes sense.
What does each way mean in betting?
An each way bet (often written as E/W) combines:
- A win bet: pays if your horse finishes first.
- A place bet: pays if your horse finishes in a paying place, usually first, second or third.
Both parts use the same stake. If your horse wins, you collect on both the win bet and the place bet. If it runs second or third, the win bet loses and the place bet pays. If it finishes outside the places, both parts lose.
How much does an each way bet cost?
Your total outlay is double the stake you name, because you’re placing two bets:
| You ask for | Win part | Place part | Total cost |
|---|---|---|---|
| $5 each way | $5 | $5 | $10 |
| $10 each way | $10 | $10 | $20 |
| $20 each way | $20 | $20 | $40 |
| $50 each way | $50 | $50 | $100 |
On a bet slip, check whether the stake field means “per part” or “total”. Most Australian providers show the stake per part and the total outlay separately.
How many places are paid?
The number of places depends on how many horses start, not how many were entered:
| Starters | Places paid | What it means for your bet |
|---|---|---|
| 8 or more | 1st, 2nd and 3rd | The standard each way bet |
| 5 to 7 | 1st and 2nd only | Third place no longer pays |
| 4 or fewer | No place betting | Place bets are usually refunded |
Late scratchings can change this. A field of 8 that loses a runner on race day becomes a 7-horse field, so only two places pay. Fixed-odds bookmakers generally follow similar place terms, but check the race’s place terms before you bet. Some providers offer extra places on big races as a promotion.
How each way bets pay: worked examples
Say you put $10 each way on a horse at $9.00 to win and $2.80 to place. Your total outlay is $20.
| Result | Win part returns | Place part returns | Total return | Profit or loss |
|---|---|---|---|---|
| Wins | $90.00 | $28.00 | $118.00 | +$98.00 |
| Runs 2nd or 3rd | $0 | $28.00 | $28.00 | +$8.00 |
| Unplaced | $0 | $0 | $0 | −$20.00 |
Now the same bet on a short-priced favourite, at $2.50 to win and $1.30 to place:
| Result | Win part returns | Place part returns | Total return | Profit or loss |
|---|---|---|---|---|
| Wins | $25.00 | $13.00 | $38.00 | +$18.00 |
| Runs 2nd or 3rd | $0 | $13.00 | $13.00 | −$7.00 |
| Unplaced | $0 | $0 | $0 | −$20.00 |
The $2.00 rule
If your horse places but doesn’t win, you only make a profit when the place odds are higher than $2.00. That’s because the win half of your bet has lost. On a favourite with place odds of $1.30, a place still loses you money overall.
Each way calculator
Enter your stake per part and the win and place odds to see what you’d get back for each result. If your bookmaker sets the place price as a fraction of the win odds, choose that option and the place odds are calculated for you.
Free calculator
Each way bet calculator
| Result | Total return | Profit / loss |
|---|
Fixed odds vs tote place dividends
- Fixed odds: the win and place prices are locked in when you place the bet. Most Australian bookmakers quote a separate place price for each runner.
- Fraction of the win odds: some markets, especially in other countries and in sports like golf, pay the place part at a fraction of the win odds, such as 1/4. With 1/4 odds, a $9.00 win price becomes a place price of 1 + (9 − 1) ÷ 4 = $3.00.
- Tote: the place dividend comes from the place pool and isn’t known until after the race. It depends on how much money was bet on each placegetter.
When each way makes sense, and when it doesn't
| Situation | Each way? | Why |
|---|---|---|
| Longer-priced runner ($8.00 or more) in a big field | Often useful | The place price is usually above $2.00, so a placing returns a profit |
| Short-priced favourite (under about $4.00) | Usually poor value | A place pays less than your total outlay |
| Field of 5 to 7 starters | Think twice | Only two places pay, so the chance of a placing drops |
| You only care about a placing | Consider place-only | A place bet alone costs half as much as each way |
Each way doesn’t change the long-run odds in your favour. It spreads your money across two outcomes. It suits people who want a horse to have two ways to pay, as long as they understand what each part is worth.
Dead heats and scratchings
- Dead heats: if your horse dead-heats for a paying place, your stake on that part is divided by the number of runners in the dead heat. In a two-way dead heat for third, your place part is paid on half your stake at the full price.
- Scratchings: if your horse is scratched, your bet is refunded. If another horse is scratched late, fixed-odds prices on the remaining runners may be reduced by a scratching deduction.
- Fewer starters: if scratchings drop the field below eight, only two places pay, even on bets placed earlier.
Each way vs win-only vs place-only
| Bet | Cost for a $10 stake | Pays when | Best suited to |
|---|---|---|---|
| Win only | $10 | The horse wins | Runners you strongly believe will win |
| Place only | $10 | The horse finishes in a paying place | Consistent runners at reasonable place prices |
| Each way | $20 | Wins (both parts) or places (place part) | Longer-priced runners in big fields |
Each way on the Melbourne Cup
The Cup’s big field of up to 24 starters means three places are paid, and many runners start at long odds. That’s why each way is so popular on Cup day. Before you bet, check the place price, not just the win price, and use the $2.00 rule above. If you’re running an office sweep instead, our Melbourne Cup sweep generator is free, and our trifecta guide explains the exotic bets.
Set your budget for the whole race day before the first race. Our guide to setting deposit limits and taking breaks explains the tools available, and how betting odds work shows how to read any price.
Sources
Frequently asked questions
What does each way mean in betting?
An each way bet is two equal bets: one for the horse to win and one for it to place. If it wins, both pay. If it places, only the place part pays.
How much does a $10 each way bet cost?
A $10 each way bet costs $20: $10 on the win and $10 on the place.
How many places pay on an each way bet?
In races with eight or more starters, 1st, 2nd and 3rd pay. With five to seven starters, only 1st and 2nd pay. With four or fewer, there’s usually no place betting.
What happens if my each way horse finishes fourth?
In a normal field, fourth isn’t a paying place, so both the win and place parts lose.
Is each way worth it on a favourite?
Usually not. A favourite’s place price is often well below $2.00, so if it places but doesn’t win you get back less than your total outlay.
What happens to an each way bet in a dead heat?
If your horse dead-heats for a paying place, the stake for that part is divided by the number of runners in the dead heat and paid at the full price.
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