We need three variables to calculate the expected value of a bonus – wagering requirements, house edge, and bonus amount.
Use the following formula to calculate the expected value of the bonus:
Bonus amount – (wagering requirement) x house edge
Consider that you have claimed a 100% casino deposit bonus with a wagering requirement of 40x. You have received a bonus of $100 and plan to use it on blackjack games, which have a house edge of 3%.
You can now calculate the expected value of the bonus using the formula.
Bonus amount: $100
Wagering requirement: 40x or 40 x $100 = $4000
House edge: 3%
100 – (4000) x 3% = -$20
The expected value is a negative number. Ensure that the bonus has a positive expected value before claiming it.