Implied Odds vs Pot Odds in Poker
Overview This instructable will cover the concepts of pot odds and equity and one of the ways you can use them to improve your poker game.
These concepts are applied to gain insight to a given hand using information like pot size and number of outs.
It is intended for beginner to intermediate level players who are already familiar with basic poker terminology such as raise, call, action, outs, and many others.
If you do not feel comfortable with these terms or any of the basics of poker, I recommend becoming more familiar with them before attempting to learn more advanced concepts such as pot odds and equity.
Did you use this instructable in your classroom?
Add a Teacher Note to share how you incorporated it into your lesson.
Background Information Calculating your pot odds and equity in a hand in poker are vital in giving you the information you need to make the statistically correct decision.
One of such difficulties is deciding whether or not you should call an opponent's raise, and pot odds and equity can be applied together to give you a great estimation of what you should do.
What are Pot Odds?
The first of the two concepts, pot odds, is simply the ratio of the amount of money currently in the pot to the amount of money you must pay in order to make a call.
How to Calculate Pot Odds Normally pot odds are simply expressed as a ratio, but I believe the overall concepts of both pot odds and equity are easier to understand if they are both expressed as a percentage because percentages are easier to compare to one another than fractions.
So, to calculate the percentage form of this, simply take the number representing your share the number on the right and divide it by the sum of both numbers.
Pot odds on their own, however, do not quite give you all of the information you are going to need.
In order to apply this information, you must use another concept called equity.
Equity is simply your chance of winning the hand by the end of the river.
This chance can either be represented with a ratio or a percent, but again, we will be using the percentage form.
How to Calculate Equity In order to calculate your equity you must consider your number of outs, or possible cards that would win you the hand.
Consider the following example: Imagine that there are only 2 of you left in the hand, and your opponent has a pair of jacks.
Drawing either the straight, or a pair of aces or kings will beat his jacks, so you have 10 outs to win out of 45 remaining cards 3 aces, 3 kings, and 4 queens.
Using an odds calculator shows that this gives you about a 38% chance of hitting one of those draws and winning the hand, which means that you have a 38% equity in the hand.
Simplifying Equity However, you are not an odds calculator, and making complicated calculations or memorizing odds tables odds pot holdem both very difficult and can require a large amount of time during a game.
It is therefore considered much more practical to use the rule of 2 and rule of 4.
These rules simply mean that if there is one card left to be drawn just the river you can approximate your percent chance to hit one of your outs by multiplying the number of outs by 2.
And likewise, if there are 2 cards left to be drawn both the turn and the rivermultiply your number of outs by 4.
The above table shows the odds corresponding to 1-15 outs using this system.
How to Apply These Terms Now that you have calculated both your pot odds and your equity you are ready to combine the two to decide if you should make the call or not.
In the previous example, you have 38% equity in the hand.
In other words, if you played this hand through 100 times you could expect to win it 38 of those times, and furthermore, you can expect to win back 38% of every dollar that goes into the pot.
So how do you know read more you should call a raise?
Essentially, your equity must be greater than your pot odds.
If this is the case, the profits from the 38 times you win the hand would be greater than the costs from the 62 times you lose.
This is where pot odds come in.
Your equity in the hand is 38%, which is less than 45%, so you should not call his raise.
But why exactly is that?
In order to understand why your equity should be greater than your pot odds, think about the implications of these two numbers.
Your pots odds are 45%, so if you call you are contributing 45 cents of every dollar that goes in.
However, your equity is only 38% so over the course of many hands you can only expect to win back 38 cents for every dollar that goes in.
So for every 45 cents you read more, you are only getting back 38 cents.
In the long run, you are losing money, and that is why you should not call in this situation.
This time, your pot odds are much better, at 3:1, or 25%.
But this time around, your equity is greater than your pot odds, and you are only odds pot holdem 25 cents for every dollar in the pot.
You are spending 25 cents to make odds pot holdem cents for each dollar, so this time around you can expect a call to be profitable.
Hopefully you now have an understanding of pot odds, odds pot holdem, and how they can interact to give you information.
This is a very useful technique for giving you tangible, statistical information on a hand, and learning it can give you some insight into the mathematical aspect of poker.
After all, while being able to read your opponents is very important, poker still boils down to a game of numbers, and using these numbers to your advantage can give you the edge over your opponents.
The kind of scenario in the example used by this tutorial is but one of many applications of pot odds and equity, and there are many more advanced concepts that build on these, such as fold equity and implied odds.
If you are able to incorporate this technique into your game successfully, I highly encourage you to learn more about the advanced features of poker.
How to Calculate Outs
Pot Odds, Calculating Outs and the Rule of 2 and 4: This question is. In Texas Holdem, I use pot odds only when I have between 6 and 12�...