It’s a commonly held belief among Queensland punters that the TAB only takes 14% commission out of the wagering pools.
If it were true it would be pretty ordinary, for it would mean that for every dollar you bet you are really only getting a multiple of 86 cents in the dollar times your investment, which – while a whole let better than the vig you pay on lotto tickets and the pokies – isn’t really the sort of permanently negative geared investment that any reputable financial advisor would recommend.
There is thing called the law of diminishing returns you see, which is the point at which the level of profits or benefits gained for spending on something is less than the amount of money or energy invested.
At 14% skimmed off your every dollar each way, that point would probably be somewhere between the time you finishing reading the form guide of a morning, and the time that you whack on your first bet.
As you can see above though, State Government laws allow the TAB to gouge you for 25 cents in every punted dollar.
That’s a good deal isn’t it?
All of a sudden, the point of diminishing return is the second that you wake up on a race morning.
Damon Runyon famously said that all of life was 6 to 5 against, and most people reckon he was right, for Runyon could count.
What’s the percentage in the house’s favour when they are betting you evens about a six to five shot?
If you can’t work it out, then put down your tip sheet and stop punting.
You can’t shoot the messenger because Runyon was long dead before the great rock and roll legalised TAB rort was even born, but it’s clear that he had his market wrong, at least as the roll of the board applies in Queensland.
The real price of life north of the Tweed is ……
Like I said, work it out or get off the punt right now.
Most TAB punters up this way already have.