Futures betting involves placing wagers on events or outcomes that will occur in the future. Examples of future bets in sports betting include betting on the winner of a league championship before the season begins or betting on the outcome of an event that will take place in the distant future.
Computing the potential payout for a futures bet involves multiplying the amount wagered by the odds offered. The formula for calculating the potential payout on a futures bet is:

\[ Potential Payout = Wager Amount * (Odds + 1) \]
Where:
– Potential Payout is the total amount paid out if the bet is successful.
– Wager Amount is the amount of money you are betting.
– Odds are the odds offered by the sportsbook for the bet.
For example, if you place a $100 futures bet on a team to win the championship at odds of 5:1, the potential payout would be:

\[ Potential Payout = $100 * (5 + 1) = $600 \]
So if the team wins the championship, you would receive $600 back (your initial $100 wager plus $500 in profit).
Remember that future bets usually tie up your money until the event or season concludes, so it’s essential to consider this when making such bets. Additionally, odds can change over time based on the performance of the teams or individuals involved, so it’s wise to monitor them and make your bets at the most favorable odds available.