How slot machines actually pay - payout myths put to rest
March 11, 2007 on 6:15 pm | In Uncategorized | No CommentsAn aura of mystery surrounds slot machine payouts. Players wonder just how the slots decide what to pay - and when. The secret formula is really quite simple, though the underlying mathematics certainly are not. The key lies in the random number generator (RNG) which is at the heart of every electronic slot machine.
Each of the ‘reels’ on a slot machine - there are five in the sample game below - consists of a number of images stacked on top of each other. Each number corresponds to a symbol on that reel in the game. The order of the images on each reel typically stays the same throughout the life of the machine. At the end of each reelset, it loops back to the beginning. There are typically dozens but may be hundreds of virtual positions on each reel.
It is because there are so many symbols on each reel that so many different payout combinations are possible. If a game has 40 symbols per reel, there are 40×40x40×40x40 (102,400,000) different pay window combinations - assuming no patterns are repeated on each reel.
The RNG comes up with thousands of random numbers per second. The microsecond that you hit the Spin button on the game, a final random number is selected. This determines which image will stop on each reel. In the example below, images 14, 15 and 16 are the selected images for reel 1.

The number of reels varies on different games. Some games may have only three or up to seven. Any more than six or seven and the games become too hard for the player to understand.
If you watch a game long enough you might be able to work out the order of images on each reel. There is no real benefit to this though, as you still won’t be able to predict where each reel will stop.
The real sophistication in game design isn’t created by the RNG, it is actually in the order and quantity of each symbol on each reel. The end result of the incredible mathematics is that over a very long time (perhaps millions of spins), the game will return a quite precise amount to players and a tidy amount to the venue. Manufacturers typically specify a RTP (return to player) percentage with accuracy to 1/100th of a percent.
You can now see that the slot machines are not actually calculating a payout before each time you hit that Spin button. They are simply selecting a series of random numbers to stop each reel. Any payouts are really almost incidental. This realisation also busts other myths:
Myth 1: machines run hot or cold. The use of the RNG absolutely refutes this. There is absolutely no pattern of winning or losing on slots. Its all completely random - every single spin. This relates to free games as well. You might get 1 free game every 100 spins, or you might get five in a row. There is simply no way to predict it. There are less free game trigger symbols on each reel than other images though - they are less likely to appear than low paying symbols.
There are some websites and books which offer so-called player strategies for slot machines. Consider these in the light of the RNG in slots and you’ll soon realise there is no long term strategy for winning playing slots (using doubleup does change things a little - we’ll cover that later).
Myth 2: somebody stole my free games. Sometimes you’ll get up from your gaming machine and move to another. Perhaps you had played for a long time without getting any free games. Then another player sits down and in their first couple of spins they win the free games. Rather than breaking a ceramic ashtray over their heads, consider instead that its simply the luck of the draw - the precise moment they hit the Spin button is in fact what triggered the free games - the correct images on each reel.
Myth 3: talking to my slot machine helps.We’ve covered some of the player types before (Slot machine players). Simply put, neither cajoling nor threatening will make the slightest difference to a poker machine.
The best thing to do when playing slots is simply to set a budget beforehand, and sit back and relax when playing.
TITO takes over the world
March 11, 2007 on 12:30 pm | In Uncategorized | No CommentsTITO (Ticket in, ticket out) machines allow for the insertion of normal cash notes into slot machines, but will pay out any wins/credits held in the form of a barcoded ticket. This ticket can then be redeemed for cash at a cashier window, or inserted into another slot machine which is capable of reading it - transferring the balance to that new machine.
Any regular pokie punter knows how cumbersome - and noisy - coin based payouts can be. Not to mention the rather rancid coating left on your hands when dealing with large numbers of coins.
The steady march of technological progress in slot machine design will one day eliminate cash payouts completely. TITO is usurping cash pays in many US jurisdictions - and is encroaching rapidly on other markets.
The advantages for gaming venues are numerous. They don’t have to deal with coins at all. Coins are heavy, dirty and messy to deal with. Slot machine hoppers will often run out of coins to pay. Barcode ticket printers will run out of tickets as well, but not nearly as often. Replenishing them is also much simpler than lugging around suitcases full of coins. Payouts can also occur much more quickly. Punters can thus move from machine to machine faster - which means they can lose money faster as well. Additionally, the entire stored value of a ticket is entered into a machine instantly when the machine accepts it - no time consuming entry of coins or notes is required.
Players generally like TITO. Waiting for a hopper to pay out or be refilled is a chore which distracts from what they are there for - to play. Some slot machine designers have implemented simulated coin payout sounds while the tickets are printing - to provide a soothing pay experience reminiscent of the sound of coins spilling into the overflow tray.
Removing coin hoppers leaves a lot of vacant space inside a typical slot machine. It might be a handy location to build in something else of benefit to a player - bigger screens might come in handy.
The future of TITO is going to be interesting. At some point regulators will probably accede to the likely wishes of casinos and allow entirely cashless machines. You’ll be able to enter a credit/debit or stored value card and play directly from the credit available on it.
Mobile gaming is also taking off - perhaps you’ll even be able to wirelessly transfer credits from your mobile phone to a slot machine.
The most difficult management issue may be in reminding people to actually remove their card from a machine after they’ve finished playing. If you wander around venues now, there are a surprising number of player loyalty cards left in machines. People play, go and and leave their cards behind. Loyalty cards have only limited intrinsic value though. No doubt slot designers can implement audible and or visual warnings if a player attempts to leave a machine with a card still embedded.
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