How are Payout Rates Calculated at Online Casinos

The outcomes and results produced by online slot machines and any other games you can find at today’s best online casinos are generally determined by Random Number Generators (or RNGs, for short), which is powered by mathematical algorithm software that produces fair and realistic results with no discernible patterns. It sounds a lot more complicated than it actually is. 

In other words, when you spin the reels of an online slot machine, the result on the following spin has already been determined by a Random Number Generator. What you see is just an ‘illusion’ of the reels spinning. However, the results are random, just like in reel life, so there’s nothing to worry about as a player. But how exactly are the payout rates calculated for online slots and other online casino games? Find out more right here. 

What is the RTP% payout rate?

The RTP% payout rate is the Return To Player Percentage Payout Rate, and it tells us exactly how much winnings a game pays back to players over a certain period of time. The information is usually calculated by a third-party online casino testing agency that is constantly monitoring and testing the games at online casinos to ensure that the players are getting realistic results. The RTP% payout rate is calculated for individual games, and it gives us an idea as to just how fair the games really are. Any trusted laptop, desktop, tablet, or mobile casino UK out there today will be regularly monitored for fairness. 

Which companies test the games for fairness?

An online casino testing agency is usually an independent, non-profit organisation that has been accredited in a number of fields to test the casino software providers’ games for fairness. They are independent of the casino and the licensing authority that has issued the casino with an online gambling licence, and they are an added layer of security that protects the player. Some of the most notable online casino testing agencies that test online casino games for fairness include:

  • BMM Testlabs
  • Technical Systems Testing (TST)
  • Quinel Ltd
  • eCOGRA (eCommerce Online Gaming Regulation and Assurance)
  • iTech Global Pty Limited
  • Global Lab Limited
  • Gaming Laboratory International

Let’s just say that eCOGRA is monitoring an online slot machine called The Goonies Return, which is brought to you by Blueprint Gaming. It may test the game over a period of 1,000,000 spins in a four-week period to find out exactly how much the game paid back in winnings. 

Examples of RTP% payout rates

If players spend a total of $/€/£500,000 (or equivalent currency value) on The Goonies Return online slot over a four-week period and receive $/€/£491,400 back in winnings, it means that this particular game had an average 98.28 RTP% payout rate for the four-week period it was under review. The remaining $/€/£8,600 (or 1.72%) would go to the casino/software provider as revenue. 

If players spent a total of $/€/£1,200,000 playing the Mega Moolah Jackpot slot over a four-week period, and they received, on average, a total of $/€/£1,170,360 in winnings for that same period, it means that the Mega Moolah Jackpot slot has an average 97.53 RTP% payout rate for the period under review. The remaining $/€/£29,640 (or 2.47%) would have been the revenue earned on that game by the casino/software provider. At most online casinos today, you will find that the majority of games tend to have an average 93.00% to 98.00 RTP% payout rate, which is much higher than you can find at most land-based casinos. 

How can I find the payout rates at online casinos?

There are several ways you can personally go about finding the latest payout rates at online casinos, and it’s generally not hard to find. If an online casino is reluctant to reveal the payout information, then it should set alarm bells ringing. The only time this would happen is at an unlicensed online casino that’s controlled by an untrustworthy operator. 

For example, at any UK-licensed online casino today, the latest payout rates information should be readily available on the website. If you can’t seem to find it, you can contact the player support, and they should be able to point you in the right direction. You can also view the payout information at the online casino testing agency that monitors the casino and calculates the payout rates. For example, if an online casino is monitored by eCOGRA, you could visit the official eCOGRA website to find out the latest payout rates for each casino this trusted online casino testing agency monitors. 

Are the outcomes of all online casino games determined by RNGs?

No. Not all games at online casinos use Random Number Generators to determine the outcomes. For example, live dealer games, such as Live Crazy Coin Flip, Live XXXtreme Lightning Roulette, Live Casino Hold ’em, and Live Blackjack from Evolution Gaming, as well as Live Immersive Roulette, Live Spin-a-Win, and Live Spin & Win Roulette from Playtech, to name just a few games, do not use RNG’s to produce the outcomes. Most other games, for example, online slots, online scratchcards, table & card games, video poker games, bingo & keno games, and most other games at online casinos, DO all use RNGs/mathematical algorithm programs to produce the outcomes. 

The Executive
The Executive
Our exclusive Executive Adam Poest (or 'Ad' for short) knows how to get things done. He's a winner. You'll find his unique insights to the world of games and technology invaluable. So sit up, pay attention, and get your free dose of blue sky skills right now. You're welcome.
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