By
Eric Pauly
Feb 13, 2026
5 min read
Sports Betting Parlays Explained
Parlays are one of the most popular bet types in sports betting. But how do they work, and why do they appeal to so many bettors? In this guide, we’ll break down what a parlay is, how payout odds work, and the difference between traditional parlays and same game parlays (SGPs). Whether you're new to parlay betting or refining your strategy, this covers the essentials.
article Summary
Parlays combine multiple bets into one wager for a bigger payout, but every leg must win. They're popular because of the upside, but the math works against you, understanding when parlays make sense and when they don't is key to using them wisely.
What Is a Parlay in Sports Betting?
A parlay is a single bet that combines two or more individual wagers. To win the parlay, every leg must hit. If even one leg loses, the entire bet is a loss. If a bet pushes, the payout of the parlay is recalculated. Positive EV betting tools make betting parlays much more manageable.
Why Parlays Are Popular
Parlays offer high payouts for small stakes. That’s because each added leg increases the risk, but also multiplies the potential return. It’s a high-risk, high-reward play that appeals to both casual and experienced bettors.
For casual sports bettors, they are more enamored by the lower stakes needed to win more. Sharp sports bettors bet parlays because they compound expected value, so a parlay consisting of 2+ +EV legs can make a parlay a great bet. Read our article breaking down two +EV tools, OddsJam vs OddsShopper.
Example
Traditional Parlay Example:
Leg 1: Team A moneyline
Leg 2: Team B spread
Leg 3: Over 215 total points
If all three hit, the bet wins. If one misses, the bet loses.
Parlay Payout Odds: How They’re Calculated
The payout from a parlay is based on the odds of each individual leg. As you add more legs, the odds increase, as do the potential profits.
Understanding the Odds
Most sportsbooks automatically calculate the combined odds for you, but the formula generally multiplies the decimal odds of each leg. The more legs, the longer the odds, and the bigger the potential payout. Odds comparison tools help you find the best odds on parlays.
Boosts and Promotions
Some sportsbooks offer parlay odds boosts that improve your payout without increasing your risk. These can add value, but should still be used with smart bet selection. Parlays compound expected value. Adding more legs to your parlay that are bad bets will make your parlay a bad wager, but a parlay consisting of +EV legs is a great bet, even if the hit rate of these bets is low. Read our ProfitDuel review to learn how the tool helps you take advantage of boosts and promotions.
Same Game Parlays: What Makes Them Different?
Same game parlays (SGPs) let you build multiple legs from a single game. These bets often include player props, team totals, or alternate spreads, all tied to the same event.
How SGPs Work
Leg 1: Team A to win
Leg 2: Their QB to throw 2+ touchdowns
Leg 3: Opposing RB under 60 rushing yards
Since these legs are correlated, depending on the scenario, they can boost or reduce the real odds of success. That’s why SGP strategy matters. Most sportsbooks take a correlation tax on parlays, meaning they will not increase the odds of the parlay based on the true odds of each leg if the legs are correlated. Read our Outlier review to see how the tool helps you with parlay betting.
Risk with Correlation
SGPs can offer bigger payouts, but correlated legs may be adjusted by the sportsbook to reduce value. Good bankroll management is essential when betting parlays. Always check how the book prices your parlay, especially if you’re stacking outcomes that depend on each other. Some sportsbooks offer better odds for inverse correlation.
Parlays & Same Game Parlays Summarized
Hopefully, you now have a clear understanding of sports betting parlays that's both actionable and informative. Whether you're testing out traditional parlays or experimenting with same-game parlays, remember the basics: every leg must hit, payout odds scale with risk, and a smart multi-leg betting strategy can make all the difference.
Lastly, never forget parlays' compound edges. The better the bets in your parlay, the better the bet, win or lose. The worse the legs are, the worse off your bet is, and parlays can quickly become a bankroll suck for newer sports bettors.
When Parlays Make Strategic Sense
Parlays aren't inherently bad bets. They become bad when bettors throw random legs together for entertainment without considering the expected value of each selection. If every leg in your parlay is individually +EV, the parlay itself compounds that edge. Sharp bettors often use 2-3 leg parlays with correlated outcomes to maximize value while keeping risk manageable.
The key is treating parlays as a strategic tool rather than a lottery ticket. Use positive EV tools to identify strong individual legs, then combine them thoughtfully. That approach turns parlays from a fun gamble into a legitimate betting strategy.
Final Thoughts
Parlay betting is popular, but it can also be dangerous. Newer sports bettors are drawn to parlays since they can risk less money to win more, but if the legs in your parlays are all -EV, they can be a bankroll crusher. More advanced sports bettors can have a lot of success with parlays by focusing on +EV legs and keeping the number of selections manageable.
Before building your next parlay, take the time to evaluate each leg individually. Ask yourself whether you'd bet each one as a straight bet. If the answer is no, it probably doesn't belong in your parlay either. Smart parlay betting starts with smart individual selections, and the best sports betting tools can help you find them.
Sports Betting Parlays FAQ
Additional Resources
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History of Sports Betting
Sports betting is older than most civilizations, and the way we bet today would be unrecognizable to the bettors who came before us.
