Australia has a legendary relationship with gambling. From the “Two-Up” circles of the ANZACs to the modern-day “pokies” in every local club, betting is woven into the social fabric of the nation. However, with the highest per capita gambling losses in the world—estimated at over $25 billion annually—it is clear that many Aussies are falling into avoidable traps.
Whether you’re placing a multi on the NRL, spinning the reels at a local pub, or exploring licensed online platforms, the difference between a fun night out and a financial disaster often comes down to strategy and discipline. Here is a comprehensive guide to the top gambling mistakes Australians should avoid in today’s market.
1. Chasing Your Losses
This is the “cardinal sin” of gambling. We have all been there: you lose a few hundred dollars on the horses or the pokies, and the immediate instinct is to “get it back.” You increase your stakes, hoping one big win will put you back in the black.
The Reality: In the gambling world, the “house” always has a mathematical edge. When you chase losses, you aren’t playing with a clear head; you’re playing with desperation. This leads to impulsive decisions and almost always results in losing even more money. The moment you lose your budgeted amount, the best move is to walk away.
2. Not Understanding “The Vig” (The House Edge)
Many Australians treat sports betting as a game of pure skill, forgetting that bookmakers are businesses, not charities. Every market offered by a bookie includes a “margin” or “vig” (short for vigorish).
If you’re betting on a coin toss and the odds are $1.90 for heads and $1.90 for tails, the bookmaker is keeping 5% of every dollar wagered as a fee. Over hundreds of bets, that small margin slowly drains your bankroll. If you aren’t finding “value” (odds that are better than the actual probability of the event), you are guaranteed to lose money in the long run.
3. Betting on Your Favorite Team (The “Loyalty Trap”)
Aussies are fiercely loyal. Whether it’s the Collingwood Magpies or the NSW Blues, we want our teams to win. However, your heart is the enemy of your wallet.
The Mistake: Placing bets based on who you want to win rather than who is likely to win. Bookmakers love “fan money” because it’s predictable and often ignores logic, injuries, or form. If you can’t objectively bet against your own team when they are the underdogs, you shouldn’t be betting on their games at all.
4. Ignoring Bankroll Management
Ask any professional punter, and they’ll tell you that bankroll management is more important than picking winners. Most casual gamblers in Australia simply “deposit and play.”
To avoid this mistake, you should:
- Set a strict budget: Only use money you can afford to lose.
- Use a unit system: Never bet more than 1–2% of your total bankroll on a single event.
- Separate your funds: Treat your gambling money as an entertainment expense, separate from your rent, groceries, or savings.
5. Falling for “Multi” Fever
The “Same Game Multi” has become the most popular way to bet in Australia, largely due to aggressive TV advertising. It’s easy to see why—turning $5 into $5,000 sounds like the Australian dream.
The Catch: Every “leg” you add to a multi exponentially increases the house edge. While a single bet might have a 5% margin, a 5-leg multi can have a margin as high as 25% or more. They are high-risk, low-probability bets that serve as the primary profit drivers for betting apps. Use them sparingly for fun, but never as a serious strategy.
6. Misunderstanding “Independent Events”
A common myth in Australian pubs is that a poker machine is “due” to pay out if it hasn’t hit a jackpot in a while. This is known as the Gambler’s Fallacy.
In Australia, Electronic Gaming Machines (EGMs) use a Random Number Generator (RNG). Every single spin is independent of the last. A machine that hasn’t paid out in five hours is no more likely to hit a jackpot on the next spin than a machine that just paid out five minutes ago.
7. Gambling Under the Influence
Alcohol and gambling are often paired together in the Australian lifestyle. However, alcohol impairs the prefrontal cortex—the part of your brain responsible for impulse control and risk assessment.
When you’ve had a few too many schooners, you’re more likely to take “long shots,” ignore your budget, and chase losses. If you’re planning on a big night out, it’s a good idea to leave your betting apps closed or use the “lock” features now available on most platforms.
8. Not Shopping Around for the Best Odds
Loyalty to a single betting app is a mistake that costs Australians millions. Because the Australian market is so competitive, different bookmakers often offer vastly different odds for the same event.
By “odds shopping,” you can ensure you’re getting the best possible return. A horse might be at $4.00 on one app and $4.50 on another. That 50-cent difference might not seem like much, but over a year of punting, it can be the difference between being a winning or losing bettor.
Frequently Asked Questions
1. Is online gambling legal in Australia?
Yes, online sports betting, race wagering, and lotteries are legal in Australia, provided the operator is licensed by an Australian state or territory. However, online casinos (slots and table games) are prohibited under the Interactive Gambling Act 2001.
2. What are the signs of a gambling problem?
Common signs include spending more than you can afford, lying to family about your betting, feeling anxious when not gambling, and “chasing” losses to recover money.
3. Can I use a credit card to gamble online in Australia?
No. As of 2024, the Australian government has banned the use of credit cards and digital currencies for online wagering to help prevent people from gambling with money they don’t have.
4. What is “BetStop”?
BetStop is the National Self-Exclusion Register. It allows you to ban yourself from all licensed Australian online and telephone wagering services in a single step, for a period ranging from 3 months to a lifetime.
5. Why are “pokies” so hard to beat?
Australian poker machines are programmed with a “Return to Player” (RTP) percentage, usually between 85% and 92%. This means the machine is legally designed to keep a portion of every dollar wagered over the long term.
6. Are betting “systems” or “tipsters” worth the money?
Generally, no. Most “guaranteed” systems are scams. If someone truly had a system that could beat the bookies every time, they wouldn’t need to sell it to you for $50 a month; they would be billionaires.
7. What is a “Value Bet”?
A value bet occurs when the probability of an outcome is higher than what the odds suggest. For example, if you believe a team has a 50% chance of winning, but the odds are $2.10 (which implies a 47.6% chance), that is a value bet.
8. How do I set deposit limits?
Under the National Consumer Protection Framework, all Australian licensed betting sites must provide an easy way for you to set daily, weekly, or monthly deposit limits through your account settings.
9. Does the “house” always win?
In the long run, yes. While individuals can have winning days or even winning years, the mathematical edge built into every game ensures that the operator remains profitable over millions of bets.
10. Where can I get help if I’m struggling?
You can call the National Gambling Helpline at 1800 858 858. It is a free, confidential service available 24/7 for all Australians.