Each Way Betting Explained: What Does Each Way Mean?

Each way betting is a term often heard in betting shops and online, but not everyone is clear on what it actually means. For those new to betting, the idea may seem complicated at first glance. Understanding how this type of bet works is part of building knowledge around how bets are structured.

This blog post explores the basics of each way betting in a straightforward manner. Readers will find out exactly what each way means, how these bets are placed, and in which situations they are used. There is also a simple breakdown of how each way odds and potential payouts are calculated, and how such bets are settled.

Read on to learn more.

What Does Each Way Mean in Betting?

Each way betting is commonly used in sports such as horse racing and golf. It consists of two separate bets: one for a selection a bettor thinks will win, and one for the same selection to potentially finish in a top place, such as second or third.

This setup means the bet has two parts for the same selection. The win part pays in full if the selection finishes first. The place part pays a smaller amount if it finishes within the specified places, often the top three or four, depending on the size of the field.

Bookmakers set which places count and the fraction used to calculate the place payout. In a big horse race with many runners, for example, a site may pay the top four places. Because there are two bets involved, the total stake is doubled.

With that in mind, it helps to see how this looks on a bet slip.

How Does an Each Way Bet Work?

An each way bet is actually two separate bets combined into one.

The first part is a bet on a selection to potentially win the event outright. The second part is a bet on the same selection to possibly finish within a set number of places, as specified by the bookmaker.

For example, in a horse race, if someone places a £5 each way bet, this means £5 is placed on the horse to win and another £5 on the horse to place. The total stake is £10.

If the selection wins, both parts of the bet are paid out. If the selection only places, only the place part returns winnings, which are calculated at reduced odds based on the place terms for that event. These terms are listed before confirming the bet, so it is important to review them.

When Should You Place an Each Way Bet?

Each way bets are often considered in events with several participants, such as horse races, golf tournaments, or sports where finishing positions are relevant.

They are typically used in markets where a selection may not be among the shortest prices but is considered likely to finish in the higher positions. In larger fields, place terms may include more positions or offer adjusted fractions. Some markets provide extra places but apply a lower fraction to the place part, so checking those details is useful.

Each way betting tends to be less appealing when the selection is a very short-priced favourite, as the potential return from the place part may be low relative to the added stake. It’s also worth noting that the total outlay is doubled due to the structure of the bet.

Understanding how returns are calculated can support clearer comparisons between different options.

Each Way Odds and Payouts Explained

Each way bets use two sets of odds: the full odds for the win part, and a reduced fraction for the place part. This fraction is set for the event and is commonly 1/4 or 1/5 of the win odds, with the number of places depending on the field size.

If a selection wins, both parts pay out. If it only places, only the place part pays, at the reduced rate. The exact return depends on the odds, the place fraction, and how many places are being paid.

To make this clearer, here is a simple example using round figures. Imagine a £5 each way bet at 10/1 with place terms of 1/4 the odds for the first three places:

• If the selection wins: the win part returns £5 at 10/1, which is £50 profit plus the £5 stake back, so £55. The place part returns £5 at one quarter of 10/1, which is 2.5/1, so £12.50 profit plus the £5 stake back, totalling £17.50. Combined, the total return is £72.50 on a £10 total stake.
• If the selection finishes second or third: only the place part returns, which is £17.50 in this example. The win part loses, so the overall return is £17.50 on the £10 total stake.

The terms for each event are shown before placing a bet, so you can see the fraction and the number of places that apply if you’re considering betting.

How Are Each Way Bets Settled?

Each way bets are settled once the official results of the event are confirmed. The finishing position is checked against the place terms.

If the selection finishes first, both the win and place parts are paid out. If it finishes within the set places but not first, only the place part is paid out. If it finishes outside the specified places, both parts of the bet lose. Winnings are then credited according to the settlement rules published for that event.

With the mechanics clear, the final point to consider is whether this type of bet aligns with how you want to engage with the market.

Is an Each Way Bet Worth It?

Deciding whether an each way bet is suitable will depend on several factors, such as the number of participants in the event and the odds being offered on a particular selection.

Each way betting is often used in competitive fields where the selection is not among the shortest prices but may be expected to place. In these cases, the place part of the bet may return more than the stake alone. However, for very short-priced options, the additional cost may outweigh the potential return from the place part.

The value of the place terms, such as how many positions count and the payout fraction, should be reviewed alongside the price of the selection. Extra places might be available, but if the fraction is lower, the return on a placed finish will also be lower. These details vary between events and markets.

If you’re thinking of placing this type of bet, you should consider the full cost of the bet and the return under each possible result—win or place—based on the event terms. Betting should only take place with amounts that fit within personal limits, and each way betting can offer a clear example of how certain bet types are structured and settled.