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Rakeback vs Cashback

Which VIP model returns more? Rakeback pays on every wager regardless of outcome. Cashback pays on losses, so the house edge, the game's variance and how often it settles decide which returns more.

Parameters

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Same word, two different things. Stake-style rakeback pays a share of the house edge on your wager (3.5% on $10,000 at 1% edge = $3.50). Turnover-style pays a share of everything you wager (5% of $10,000 = $500).

5.0%
10.0%
3.0%

Theoretical loss (wager x house edge) is the floor. A program that pays a share of your net losses each day, week or month pays nothing on a winning period and in full on a losing one, which is worth more than the floor, and the shorter the period and the swingier the game, the more.

Try an example:

Stake's 3.5% is verified against the operator's help centre. The other two are generic shapes, not any particular casino's published rate. Rakeback advertised as 5% or 10% on a "code tier" is affiliate lore: Stake runs one flat rate for everyone from Bronze up.

Comparison

Rakeback
$500.00/month
5.0% of $10,000.00 wagered
Better for you
VS
Cashback
$30.00/month
10.0% of $300.00 theoretical loss
Difference
$470.00/month in favor of Rakeback
Break-even house edge
50.00%
At house edges below 50.00%, Rakeback is better. Above 50.00%, Cashback wins.

Keep what you worked out.

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Next

Same math. Your Stake VIP progress, rakeback rate and bonus projections, and the wager left to Bronze, Silver, Gold and Platinum.

Open Stake VIP Calculator →
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