Baccarat is one of the most popular casino games in the world. It is a card game that is played between two hands, the player and the banker. The objective of the game is to have a hand that is as close to nine as possible. However, what makes baccarat unique is the commission that is charged on winning banker bets. In this article, we will discuss the role of baccarat commission in house edge calculation.

What is Baccarat Commission?

Baccarat commission is a fee that is charged on winning banker bets. Typically, the commission is 5%. For example, if a player bets $100 on the banker and wins, they will receive $95 in winnings, and $5 will be deducted as commission. The commission is charged because the banker bet has a slightly lower house edge than the player bet, and the commission helps to balance the odds.

How is House Edge Calculated in Baccarat?

House edge is the percentage of each bet that the casino expects to keep over the long run. In baccarat, the house edge is calculated based on the probability of each bet winning. The following is the house edge for each bet:

• Player bet: 1.24%
• Banker bet: 1.06%
• Tie bet: 14.36%

As you can see, the banker bet has a lower house edge than the player bet. This is because the banker bet has a slightly higher probability of winning than the player bet.

How Does Baccarat Commission Affect House Edge?

Baccarat commission affects the house edge by reducing the amount of winnings that a player receives on winning banker bets. This means that the effective payout for a winning banker bet is slightly less than even money. For example, if a player bets $100 on the banker and wins, they will receive $95 in winnings and $5 will be deducted as commission. This means that the effective payout is 0.95 to 1.

To calculate the house edge for a baccarat game with commission, you need to take into account the commission as well as the probability of each bet winning. The following is the house edge for baccarat with a 5% commission:

• Player bet: 1.24%
• Banker bet: 1.06%
• Tie bet: 14.36%

As you can see, the house edge for the banker bet is still lower than the house edge for the player bet, even with the commission taken into account.

Baccarat commission plays a crucial role in the calculation of the house edge in baccarat. It helps to balance the odds between the player and the banker bets, and ensures that the casino can make a profit over the long run. If you are a baccarat player, it is important to understand the role of commission in house edge calculation, and to factor it into your betting strategy.