What Is a Parlay in Betting? Guide to How Parlay Bets Work

What is a Parlay?

A parlay is a single bet that combines multiple picks (called “legs”) into one wager. Instead of betting on each outcome separately, you bundle them together to multiply your payout. The more legs added, the more you can win. The catch? Every leg has to hit. If even one loses, the entire parlay goes down.

Parlays can include point spreads, moneylines, totals, props, or a mix of all four. Sportsbooks calculate your potential payout by multiplying the odds together. That’s why they offer such big returns compared to single bets. You’re taking on more risk in exchange for more reward.

Parlay Bet Definition and Key Features 

The definition of a parlay bet is a wager that links two or more picks together, with every selection needing to win for the bet to cash. What makes parlays unique is the all-or-nothing structure, since one bad leg kills the whole ticket. In return for that risk, parlays offer a compounding payout. 

Here are some of the key features that define parlay betting:

• Multiple legs: At least two picks combined into one wager.
• All legs must win: One miss means a complete loss.
• Compounded odds: Each leg boosts the final payout.
• Flexible formats: Can mix bet types or use same-game options.

How Does a Parlay Bet Work?

A parlay bet works by taking the potential winnings from one leg and rolling them into the next. Instead of settling each pick separately, sportsbooks treat your selections as a chain; every winning leg “feeds” the next one. That’s why the payout grows so quickly and why one losing leg ends the entire bet.

Here’s the basic flow:

• You choose multiple legs. At least two, but you can add more for higher payouts.
• The legs settle in sequence. Each winning leg boosts the running total.
• All legs must win. If any leg loses, the whole parlay settles as a loss.
• The final payout is calculated at the end. The sportsbook multiplies the odds together to show your combined return.

Parlay Bet vs Single Bet 

Parlays and single bets serve different purposes in sports betting. Knowing how they compare helps you choose the approach that fits your comfort level and goals, especially for beginners. If you need a refresher on the fundamentals, our sports betting introduction covers the basics behind spreads, moneylines, and totals.

Here’s how they stack up:

• Single Bet: You’ve got a better chance of winning, the risk stays low, and it’s easier to manage as a beginner. 
• Parlay Bet: Every leg must hit, so it’s riskier, but the potential payout jumps fast. It’s fun to play, just harder to land.

Parlays have greater risk but greater rewards, and their expected value is usually lower than single bets.  That’s just a fancy way of saying that single bets are steadier, while parlays are the big-swing bets you make when looking for a huge score.

Parlay Bet Examples

From two-leg combos to same-game wagers, not all parlays look the same. Here are a few common parlay styles you’ll see at most sportsbooks. 

Simple Parlay Example (2-Leg) 

A two-leg parlay is the most basic version of a parlay bet. It combines two picks into one wager, and both must hit for it to cash. Here’s a straightforward example:

• Chiefs -150
• Lakers +120
  • Bet $100 to win $367

With a simple parlay like this, you’re tying both outcomes together. If the Chiefs win and the Lakers win, you’d win more than if you bet on each pick separately. But if either leg loses, the entire parlay is graded as a loss.

Large Parlay Example (5-Leg) 

Large parlays work the same way, leading to one high-risk, high-reward ticket. All five picks need to hit, but the payout jumps quickly as you add legs. Here’s an example of what a five-leg combo might look like:

• Eagles -150
• Celtics -110
• Oilers +130
• Dodgers -140
• Heat +105
  • Bet $100 to win $2,798

The upside to large parlays is the massive payout boost that comes from linking several outcomes together. But if even one leg misses, the entire parlay is settled as a loss.

Same-Game Parlay Example 

A same-game parlay (SGP) lets you combine multiple picks from one matchup. Because the legs are linked to the same game flow, sportsbooks adjust payouts to account for the correlation. Here’s an example from Chiefs vs Bengals:

• Chiefs ML -180
• Mahomes Over 2.5 TDs +160
• Kelce Anytime TD +110
  • Bet $100 to win $650

In a same-game parlay like this, the legs are connected. For example, if the Chiefs win and Mahomes throws multiple touchdowns, Kelce’s scoring becomes more likely. Because the outcomes influence each other, the sportsbook lowers the payout compared to a standard parlay. 

Picked All Three Games Correctly (Example)

If we bet on the games individually, we would bet $100 per game.

Our total profit would be $272.73 if we bet on all three games individually.

Now, what if we combined all three games into a single $300 parlay? That $300 parlay would return a profit of $1,787.40. Even a $100 parlay would net $595.80. In other words, you can bet one-third of what you’d stake on individual games and still more than double your profit.

Getting a Pick Incorrect (Example)

Let’s look at what happens in our same example, except this time we only pick two out of the three games correctly. We bet the same games again for $100 each, and we are correct on two of the three.

Our total profit is $81.82.

If we bet on all three of the games as a parlay for $300 and even one selection loses, our profit is negative $300. You’ve now seen the downside to parlays. You have to be perfect to cash in, or you lose.

Calculating Parlay Payouts

Understanding how parlay payouts are calculated makes it easier to spot value and avoid overpriced long shots. Let’s review how parlay odds work and what the implied probability really looks like once you start stacking legs. 

How Parlay Odds Work

Parlay odds work differently from single bets because each leg increases the overall payout. There’s a simple formula for calculating the odds of any parlay that looks like this:

• Step 1: Convert to Decimal. Change each leg from American to decimal odds so they can be multiplied cleanly.
• Step 2: Multiply the Legs. Multiply all the decimal odds together to get your combined parlay odds.
• Step 3: Calculate Your Payout. Multiply the decimal odds by your stake to see the total return and potential profit.

Implied Probability and Risk

Every parlay has an implied probability: the real-world chance of all your legs hitting. To find the implied probability of your parlay, take each individual leg and multiply them. As you stack more legs, the chance of everything landing drops fast, even if each pick looks “safe” on its own.

Here’s what that means in practice:

• Each added leg lowers your hit rate. Even small percentages compound quickly, making long parlays much harder to cash.
• Bigger payouts = bigger risk. The huge returns you see on parlays reflect how unlikely it is for every pick to line up perfectly.

Understanding the probability behind your ticket helps you judge whether the reward matches the real risk. Once you see how quickly the odds stack against you, it becomes easier to build smarter, more intentional parlays.

Parlay Odds Table — Typical Returns by Leg Count 

If you’ve ever wondered how much a parlay pays with standard -110 odds, this chart lays it out clearly. It shows the typical returns for 2-leg through 6-leg parlays, giving you a quick sense of how the payout jumps with every extra pick.

This table shows how fast parlay odds can skyrocket. Just keep in mind that while every added pick increases your potential winnings, it also makes the ticket far less likely to hit.

True Odds vs Sportsbook Payouts

True parlay odds come from multiplying each leg’s real probability, but sportsbooks shave those returns by adding their hold. That built-in margin is what creates the gap between fair odds and posted payouts.

Since sportsbooks can only use manipulated odds if all your bets are -110, selecting a single bet that is not -110 forces the sportsbook to calculate the true odds. With that said, you should avoid forcing a bad pick into your parlay just to squeeze out a slightly better payout. 

Parlay Bet Calculator: How To Use It and Why It Matters

A parlay calculator is one of the most useful tools a sports bettor can have. Let’s break down what a parlay calculator does and how to use it. We’ll also highlight the benefits of using one, and how it can improve your bottom line.

What a Parlay Calculator Does 

A parlay calculator takes the guesswork out of building multi-leg bets by doing all the math for you. It shows the true value of your ticket, making it easier to compare different parlay ideas before locking in a play.

Here’s what parlay calculators help you see:

• Total combined odds for your full parlay
• Exact payout and potential profit based on your stake
• Implied probability of all legs hitting 

With this key information, you can quickly judge whether a parlay is worth playing. It also helps you spot overpriced long shots, find better combinations and build tickets with more intention. 

How to Use the Parlay Calculator

Using a parlay calculator is straightforward, and it only takes a few quick inputs to get a full read on your potential payout. Here’s a step-by-step look at how to use a parlay calculator:

Benefits of Using a Parlay Calculator 

A parlay calculator gives you a clearer picture of your ticket before you place it. It streamlines the process and makes it easier to experiment with different combinations without having to do the math yourself.

Here are the main benefits of using a parlay calculator:

• Faster comparisons between different parlay ideas
• No math errors, since the tool handles all conversions
• Easy to test leg counts and see how payouts change
• Clearer sense of risk through implied probability
• Better decision-making before you lock in a bet

With a parlay bet calculator at your disposal, you can build parlays more confidently, avoid human errors, and get a better feel for how each change affects your overall payout.

Try a Free Parlay Calculator Online

Ready to experiment with your own parlays? Try this free parlay calculator to play around with legs, odds, and stakes before you place a bet. It’s the best choice if you want something fast, accurate, and beginner-friendly.

Step-by-Step: How To Place a Parlay Bet

Placing a parlay is simple once you know the basic flow. We’ll walk you through the basic steps to combine multiple picks into one bet on any sportsbook.

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1

Choose a Legal Online Sportsbook

The first step in placing a parlay is choosing a reliable sportsbook. Choose between a licensed local sportsbook in your state or a reputable offshore sportsbook.

2

Select Multiple Bets (Legs)

The next step is picking the bets you want to bundle together. Parlays let you mix and match different markets, giving you tons of flexibility in how you build your ticket. Just remember: every added leg boosts the payout, but also increases the risk.

3

Add to Bet Slip and Confirm Stake

After selecting your legs, the sportsbook automatically groups them into a parlay inside your bet slip. This is where you double-check everything before locking it in. Once everything looks right, enter your wager amount and confirm the bet.

What Happens If a Parlay Leg Is Canceled, Tied, or Pushed?

Not every parlay goes exactly as planned. Sometimes games get canceled, or bets end in ties. When that happens, sportsbooks have specific rules for how your parlay is handled. 

Sportsbook Rules for Canceled/Postponed Games

When a game in your parlay gets canceled or postponed, most sportsbooks void the leg instead of grading it as a loss. That means the leg is removed, and your parlay is recalculated with fewer picks.

Here’s how it typically works:

• Voided legs are removed, and the parlay drops one level (4-leg → 3-leg).
• Multiple voids keep shrinking the parlay until only graded legs remain.
• If all legs are voided, the sportsbook refunds the entire bet.
• Settlement timing varies. Some books wait 24–48 hours to see if the game is rescheduled. Others void instantly.

Rules can differ between sportsbooks and leagues, so it’s always smart to check the house rules for weather delays, rescheduling windows, and event-specific exceptions.

How Pushes and Ties Affect Your Parlay 

Similar to canceled or postponed games, pushes don’t kill your parlay — the leg is simply removed. Sportsbooks then recalculate the parlay, with a reduced payout since there are now fewer winning legs.

Here’s what typically happens:

• Push = leg removed, and your parlay drops one level (ex: 5-leg → 4-leg).
• Multiple pushes keep shrinking the parlay until only graded legs remain.
• If all legs push, the entire bet is refunded.
• Some exceptions apply. Prop bets, 2-way lines, or sport-specific markets may have unique push rules at different sportsbooks.

Because rules vary between sites and bet types, it’s always worth checking your sportsbook’s push policy before adding a leg that could end in a tie.

How To Win a Parlay Bet — Tips and Strategies

Learning how to win a parlay bet means looking beyond the payout and focusing on how the ticket is built. If you want to be a successful sports bettor, there are a few tips and strategies that can help you build stronger, more intentional parlays. 

Bankroll Management with Parlays

Parlays come with high variance, so managing your bankroll properly is one of the most important parts of learning how to bet parlays. Even strong tickets can miss, which makes smart money management essential.

Here are the key bankroll principles to follow:

• Use small unit sizes: Parlays should be a small fraction of your overall bankroll.
• Set exposure caps: Avoid tying up too much bankroll in multi-leg bets.
• Stick to consistent wager amounts: Don’t chase losses or “up” your bet size after a near miss.

Use Fewer, Stronger Legs 

One of the easiest ways to improve your chances with parlays is to keep them tight and focused. Every extra leg may boost the payout, but it also drops your hit rate fast.

Here’s what to keep in mind:

• Quality over quantity: A 2–3 leg parlay built on strong picks usually performs far better in the long term than a risky 6–8 leg long shot.
• Avoid forcing weak legs: Don’t add bets just to inflate the payout. If a pick doesn’t feel strong on its own, it shouldn’t be in your parlay.

Sticking with fewer, higher-quality legs gives you a more realistic shot at cashing while still delivering solid upside.

Understand Correlation and Risk 

Correlation plays a big role in how your parlay is priced. Some legs work naturally together, while others overlap so much that the sportsbook adjusts the payout to protect itself. Knowing the difference helps you build better parlays.

When correlation helps (Improved hit rate, but reduced odds)

• Example: Chiefs ML + Mahomes Over 2.5 TDs + Kelce Anytime TD.
• Correlation: All three legs rely on the same offensive explosion from Kansas City.
• Impact: Sportsbooks will reduce the odds because the legs overlap too heavily.

When Correlation Hurts (Tougher to hit, but boosted odds)

• Example: You parlay Jets ML with Opposing QB Over 300 Passing Yards.
• Correlation: If the Jets win, the opposing QB is less likely to throw for 300+ yards — the legs work against each other.
• Impact: Since the combo is less likely to happen together, sportsbooks may offer bigger odds (or, in extreme cases, may not allow the parlay).

Shop for the Best Lines 

Line shopping is one of the easiest ways to improve your parlay results. Even a small edge on a single leg adds up fast when those odds are multiplied.

Always remember:

• Small improvements compound: A tiny edge on each leg can create a noticeably better payout when combined.
• Different sportsbooks post different prices: Checking a few options before you bet can turn an average parlay into a much better-value ticket.

Line shopping doesn’t guarantee a win, but over the long run, it helps you squeeze more value out of every parlay you build.

Track and Review Results 

Improving at parlays isn’t just about the picks you make — it’s about learning from the bets you place. Tracking your parlay results helps you see which markets you perform best in and where you’re taking on unnecessary risk.

Here’s how to make tracking useful:

• Review your best (and worst) markets: Notice whether you’re consistently stronger with spreads, props, totals, or moneylines.
• Pay attention to leg counts: Your 2–3 leg parlays tend to hit more often, while 5+ leg tickets rarely land.
• Identify patterns: Look for recurring issues like forcing legs, overvaluing favorites, or stacking too many risky props.

Types of Parlay Bets

As you get familiar with parlays, you’ll notice there are a few distinct ways to put them together. Let’s break down the most common parlay formats so you can find the one that best fits your betting style. 

Pros and Cons of Parlay Betting

Like any betting strategy, parlays have strengths and weaknesses that matter when you’re choosing how to bet. The pros and cons below give you a clear, balanced view of parlay betting:

When used selectively, parlays are a fun and potentially rewarding part of your betting strategy. Understanding the risks involved can help you use parlays responsibly and avoid turning a fun bet into a costly habit.

Parlay Betting FAQ

Parlay betting can get confusing, so we’ve rounded up the most common questions beginners ask. Use this FAQ to get fast, simple explanations.

Key Takeaways — Parlay Betting Explained

Parlay betting adds excitement by combining multiple picks into one high-payout ticket, but it also comes with higher risk. This guide covered everything beginners need to know, from what a parlay is in betting to how the odds work.

You should now understand how to bet parlays, manage your bankroll exposure, and avoid common pitfalls. Use what you’ve learned, trust your picks, and have some fun building parlays that actually feel worth sweating!

Kevin

Roberts

Content Editor

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Kevin Roberts, previously published under the pseudonym Noah Davis, is one of the more diverse writers at GamblingSites.com. Like many of his colleagues, he’s a huge fan of both football and basketball. But he also writes about box office records, TV show prop bets, DFS, and all kinds of other subjects. When it comes to the NFL, Kevin’s favorite team is the Green Bay Packers. He enjoys cheering them on with his wife and daughter.

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