An each-way bet is effectively two bets, with the first part of the bet being placed on the horse to win, while the second part is the each-way part of the bet, which will need your selection to finish in the places that are attributed to the race in question. Each bookmaker will have their own each-way conditions, but most of the time an each-way bet is calculated to either 1/4 or 1/5 odds. Using an example, if you were to be £1 each way on a 20/1 chance and it placed at 1/4 odds, you would divide 20/1 by 4, so giving you £5 for the each-way part plus your £1 stake. If they were offering 1/5 odds the 20/1 chance then you'd divide the 20s by five, giving you £4 return plus your £1 placed. Depending on how many runners are in race depends how many each-way places are available, and also the more runners in a race then the more likely you are to get enhanced places.