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One of the biggest misunderstandings new players have when they see a large new player bonus, is that they simply need to deposit cash into their account to realise this bonus and then they have unlimited access to it.
Of course, this is not the case. Logic should dictate that if any casino offered a player more money than they deposited to join and then allowed them to withdraw it to their account, then all online casinos would be out of business within a matter of days. It is a simply unsustainable business model and as such, players who believe this are somewhat naive.
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When a casino offers a bonus, this money is offered in the understanding that it will be wagered at the casino and that to withdraw it a player may need to meet certain predefined conditions, often called turnover requirements, in order to withdraw any cash generated from their bonus out of their betting account and into a personal account.
It is important to note, that for all the players complaining about this on the internet chat rooms, this is still a great value offer. The punter is still being given the chance to make bets or play casino games using the casinos own money and as such, they have the right to install some pre-conditions to ensure that they don't lose out on the deal.
The turnover requirements vary from casino to casino and to make the most of your bonus you need to understand how these work. It is best to do this using an example:
How does a 150% bonus deposit work? - Front-Loaded Bonus
Bonuses such as these are eye-catching as they offer you more money as a bonus than you are putting in, so you are getting a good deal. However, in the terms and conditions of the bonus (which not enough people read), you will discover that in order to withdraw any money from your account you will need to meet certain wagering or turnover requirements. Let's say in this example, that the bookmaker is asking for 20x your initial deposit.
What does this mean?
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Let's say in this example, you have deposited 50 into your account as a new player; the 150% bonus means that you'll receive a bonus from your casino of 75.
Now in this example, we'll assume that the casino front-loads your bonus, so you have your 50 plus 75 in bonus cash to wager at the casino. This means you have 125 in your account.
Let's say now that you place a 50 bet and you win 1,000. Your turnover requirement is 20 x 50, which is 1,000, so can you now withdraw your winnings?
Well, no you can't. The bookmaker stipulates that the turnover must come from bets you make on the site, not money you win. So although you have won 1,000 on your bet, you still have only wagered 50. So you are still 950 short of being able to withdraw your winnings.
Once you have wagered another 950, then all wagering restrictions on your account are removed and you can withdraw any amount of money from your account.
How does a 150% bonus deposit work? - Time-dependent bonus
Instead of handing you your bonus immediately, some casinos will opt to slowly release your bonus to you in increments as you meet wagering requirements. The only problem with this is that on most casino sites there is a time limit on the amount of time you have to realise your full bonus.
For example, if you make the same 50 deposit to receive a 150% bonus, you'll earn a 75 bonus. However, this is not credited to your account immediately. Instead, as you wager your real cash, you will start to release a certain percentage of your bonus.
Exactly how much of your bonus you release is dependent on how much you bet and the ratio of bet to bonus that the casino operates. Bet365 for example, state that you must bet through your initial deposit once in order to release your full bonus. So in the example above, you would have to place 50 of bets in order to realise the full 75 bonus.
However, you also need to then play through your bonus award three times (225) before you can withdraw any money earned using it. This means you need to make 275 of wagers on a deposit of 50 and a bonus of 75, and you have a strict time limit (with Bet365 this is 90 days) in which to meet the requirements and to be able to withdraw any winnings or you lose the bonus.
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Which is the best type of bonus?
The best type of bonus does depend very much on how you intend to bet. The front-loaded bonus is great because you have more money to bet with initially, however you do tend to need to play through a lot more money this way in order to remove restrictions on withdrawing your cash. Some companies, such as Ladbrokes, that can be as much as 40 times your initial deposit.
The time-dependent slow-releasing bonus doesn't cost quite so much in bets made to realise, but usually there is a strict time limit (in some cases, as little as 30 days) in which you have to release the bonus in full, with any bonus not released forfeited. This does mean that to release the full bonus, you will have to bet through your full deposit once and then you'll have to wager bets to several times the value of your bonus in order to remove withdrawal restrictions.
What the best type of bonus is depends on how much you have to bet, how often you bet and whether you are likely to realise your full bonus in the time available based on your initial deposit.
Conclusion
Turnover requirements often annoy misinformed players who think they are unfair; that is not the case at all. The bookmaker is simply ensuring that their bonus is used fairly. Players still have the chance to wager money that is above what they initially deposited. It is always a good idea to check what these requirements are for any gambling site you are considering joining to ensure that you give yourself every chance of realising the bonus at a level you can afford, even if this means making a smaller initial deposit in the first place.
Remember a 10 bonus realised is still more free cash than a 150 bonus that is not.
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Bonus Spin - the solution for Germany's 5.3% turnover tax
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How to provide engaging, fun slots while staying profitable and compliant with German regulation as an operator?
The answer we have developed at Hölle Games is 'Bonus Spin', a solution that softens the tax exposure yet continues to provide an experience that customers are used to. In 'Bonus Spin' games, some small wins (which are typically staked again by the customer anyway) will instead be paid out as a Bonus Spin, which means a further bet is not exposed to turnover tax, while at the same time the experienced RTP (xRTP as we call it), including Bonus Spins, remains at the usual high level.
The Bonus Spin mechanic is applied to small wins, but medium and big wins are obviously paid out in cash to the customer - as they are used to.
A different way of looking at RTP is how many spins a customer has available on average, given a certain RTP and a certain budget. As a simple example we are looking at a 94% RTP slot with a budget of 1 Euro to spend: 1 / 1 - 94% = 16.67. This means on a regular 94% slot game a customer has an average of 16.67 spins available for a budget of 1 Euro. With Bonus Spins we are achieving a mathematical RTP of 88%, which softens the tax exposure, and an experienced RTP (xRTP) of 94%, along with an average spins to spend 1 Euro of the same 16.67.
With the Bonus Spin mechanic, Hölle Games is giving the spins back to Germany.
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Hölle Games Bonus Spin is a simple solution because from a player's perspective, the overall experience remains the same.
The following video shows the Bonus Spin in action.