How to Play Baccarat: Rules, Strategy, and Everything You Need to Know
Baccarat is the game of James Bond, Asian high rollers, and the elegant casinos of Monte Carlo. Despite its sophisticated reputation, baccarat is actually one of the simplest casino games to play—you make one betting decision and watch the cards fall. No strategy, no complex rules, just pick a side and hope for the best.
This guide covers everything about baccarat: how the game works, why the Banker bet is mathematically superior, and what to expect when you sit down at a baccarat table.
Table of Contents
- What Is Baccarat?
- Quick Start Guide
- Card Values and Hand Scoring
- The Three Bets
- How Hands Are Dealt
- Third Card Rules
- Odds and House Edge
- Baccarat Strategy
- Baccarat Variations
- Table Etiquette
- Frequently Asked Questions
- Conclusion
What Is Baccarat?
Baccarat is a comparing card game between two hands: the "Player" and the "Banker." You bet on which hand will win or whether they will tie. The hand closest to 9 wins. That is essentially the entire game.
Why Baccarat Appeals to High Rollers
Several factors make baccarat the game of choice for serious gamblers:
Low House Edge: The Banker bet has just a 1.06% house edge—among the lowest in the casino. High rollers who wager millions can minimize their expected losses.
Fast Pace, Simple Decisions: No strategy decisions slow down the game. Bet, watch, repeat. This allows high volume of play.
High Limits: Baccarat tables often have the highest maximum bets in the casino, accommodating players who want to wager $100,000 or more per hand.
Ritual and Tradition: The elaborate dealing procedures, the squeezing of cards, the superstitions—baccarat has a ceremonial quality that elevates it beyond simple gambling.
Baccarat in Casinos Today
Walk into any major casino and you will find baccarat. In Las Vegas, baccarat tables generate more revenue than any other table game. In Macau, baccarat accounts for over 80% of casino gaming revenue.
The game comes in several formats: high-limit "big baccarat" with full-sized tables and up to 14 players, and "mini-baccarat" with smaller tables, lower limits, and faster play. The rules are identical; only the presentation differs.
Quick Start Guide
Baccarat requires almost no learning. Here is everything you need to know to play.
The Goal
Bet on which hand—Player or Banker—will have a total closest to 9. You can also bet on a Tie.
The Only Decision You Make
Before cards are dealt, place your bet on:
- Player: Pays 1:1 (even money)
- Banker: Pays 1:1 minus 5% commission (0.95:1)
- Tie: Pays 8:1 (sometimes 9:1)
That is your only decision. Everything else happens automatically.
What Happens Next
- Two cards are dealt to both Player and Banker positions
- Card values are totaled (face cards = 0, Aces = 1, others = face value)
- Only the last digit counts (15 becomes 5, 20 becomes 0)
- Depending on totals, a third card may be dealt automatically
- Hand closest to 9 wins
The Best Bet
Bet Banker. Always. The math favors it slightly despite the 5% commission.
That is all you need to play. For the complete details, read on.
Card Values and Hand Scoring
Baccarat uses a unique scoring system that eliminates values over 9.
Card Values
| Card | Value |
|---|---|
| 2-9 | Face value |
| 10, J, Q, K | 0 |
| Ace | 1 |
Calculating Hand Totals
Add the values of all cards in the hand. If the total exceeds 9, drop the first digit.
Examples:
- 7 + 5 = 12 → Score is 2
- King + 6 = 6 → Score is 6
- 8 + 3 = 11 → Score is 1
- 4 + 3 = 7 → Score is 7
- 9 + 9 = 18 → Score is 8
The best possible hand is 9, followed by 8. A two-card total of 8 or 9 is called a "natural."
Why This System Exists
The dropping of the first digit means every hand ends up between 0 and 9. This creates clear winners without complex calculations. A hand cannot bust or exceed the maximum—it simply cycles back through single digits.
The Three Bets
Baccarat offers only three betting options. This simplicity is part of its appeal.
Player Bet
Bet that the Player hand will be closer to 9. Pays even money (1:1).
House edge: 1.24%
The Player hand acts first and follows specific drawing rules. Despite the name, "Player" is just a designation—it does not represent you personally.
Banker Bet
Bet that the Banker hand will be closer to 9. Pays even money minus 5% commission (effectively 0.95:1).
House edge: 1.06%
The Banker hand acts second and has drawing rules that give it a slight advantage. The casino compensates for this by charging commission on winning Banker bets.
Why Banker is the best bet: Despite the commission, Banker wins more often (45.86% vs. 44.62% for Player). The math works out to a lower house edge for Banker.
Tie Bet
Bet that both hands will have the same total. Pays 8:1 (some casinos offer 9:1).
House edge: 14.36% (at 8:1) or 4.84% (at 9:1)
Ties occur about 9.5% of the time. The payout does not compensate for this rarity. The Tie bet is a sucker bet at most casinos.
Important: When a tie occurs, Player and Banker bets push (your money is returned). You only lose your Tie bet if you made one and it did not tie.
How Hands Are Dealt
The dealing procedure in baccarat follows strict rules with no decision-making by players or dealers.
Initial Deal
Two cards are dealt face down to the Player position and two to the Banker position. In mini-baccarat, the dealer handles all cards. In big baccarat, players may handle and reveal cards with ceremony.
Naturals
If either hand totals 8 or 9 on the first two cards, it is a "natural" and the game ends immediately. No third cards are drawn.
- Natural 9 beats natural 8
- Matching naturals result in a tie
- Natural beats any three-card hand
Third Card Rules
If no natural occurs, rigid rules determine whether additional cards are dealt. These rules are automatic—neither player nor banker chooses whether to draw. See the next section for complete details.
Resolution
After all cards are dealt, the hand closest to 9 wins. Winning bets are paid, losing bets are collected, and a new round begins.
Third Card Rules
The third card rules are the only complex part of baccarat. You do not need to memorize them—the dealer handles everything automatically. But understanding them helps you follow the game.
Player Third Card Rule
The Player hand acts first:
| Player Total | Action |
|---|---|
| 0-5 | Draw a third card |
| 6-7 | Stand |
| 8-9 | Natural, no draw |
Simple: Player draws on 0-5, stands on 6-7.
Banker Third Card Rule
The Banker hand draws based on its own total AND the Player's third card (if drawn):
If Player stood (did not draw):
| Banker Total | Action |
|---|---|
| 0-5 | Draw |
| 6-7 | Stand |
If Player drew a third card:
| Banker Total | Draws When Player's Third Card Is: |
|---|---|
| 0-2 | Always draws |
| 3 | 0-1-2-3-4-5-6-7-9 (not 8) |
| 4 | 2-3-4-5-6-7 |
| 5 | 4-5-6-7 |
| 6 | 6-7 |
| 7 | Always stands |
Why These Rules Exist
These specific rules minimize the Banker's disadvantage of acting second. They were mathematically designed to create a close game while giving the house a small edge on both bets.
You do not need to memorize this table. Watch the dealer; they know the rules and will execute them correctly.
Odds and House Edge
Baccarat offers some of the best odds in the casino, but only if you bet correctly.
Win Probabilities
| Outcome | Probability |
|---|---|
| Banker wins | 45.86% |
| Player wins | 44.62% |
| Tie | 9.52% |
Banker wins slightly more often than Player. This is why the casino charges commission on Banker wins.
House Edge by Bet
| Bet | House Edge |
|---|---|
| Banker | 1.06% |
| Player | 1.24% |
| Tie (8:1) | 14.36% |
| Tie (9:1) | 4.84% |
The Commission Explained
Banker would have a player advantage without commission. To maintain their edge, casinos take 5% of winning Banker bets.
Example: You bet $100 on Banker and win. You receive $95 profit instead of $100. Your original $100 bet is also returned.
Some casinos track commission and collect it when you leave or when it reaches a certain amount. Others deduct it immediately from each winning bet.
Expected Loss Calculation
Multiply your total action by the house edge to estimate expected loss.
Example: $100 average bet × 60 hands per hour × 4 hours × 1.06% edge = $25.44 expected loss
This makes baccarat one of the least expensive table games to play per hour, assuming you stick to Banker bets.
Baccarat Strategy
Baccarat is almost entirely luck-based, but a few strategic considerations exist.
The Optimal Strategy
- Always bet Banker: The 1.06% house edge is the best available.
- Never bet Tie: The house edge is too high regardless of payout.
- Manage your bankroll: Set limits and stick to them.
That is it. There are no complex decisions, no card counting (it does not work effectively in baccarat), and no "systems" that beat the math.
Why Card Counting Does Not Work
Unlike blackjack, baccarat offers minimal advantage from card counting. The edge gained from knowing remaining cards is tiny (about 0.1% under ideal conditions), and the conditions for that edge rarely occur. Casinos do not fear baccarat card counters.
Betting Systems
Systems like Martingale (doubling after losses) or Fibonacci do not change the house edge. They rearrange the timing of wins and losses but do not overcome the mathematical disadvantage.
Use betting systems only for entertainment or bankroll management, not with the expectation that they will make you a winner.
Pattern Tracking
Casinos provide scorecards and electronic displays showing recent results. Many players track patterns looking for trends.
The truth: Each hand is independent. Previous results do not influence future outcomes. Pattern tracking is entertainment, not strategy.
That said, if tracking patterns makes the game more enjoyable for you, there is no harm in it—just do not expect it to improve your results.
Baccarat Variations
Different formats of baccarat exist, though the core rules remain consistent.
Mini-Baccarat
The most common format in American casinos. Features:
- Smaller table (similar to blackjack)
- Lower minimum bets ($10-$25 typical)
- Dealer handles all cards
- Faster pace (up to 150 hands per hour)
- Same rules and odds as full baccarat
Mini-baccarat is ideal for casual players and those new to the game.
Big Baccarat (Full-Size Baccarat)
The traditional format found in high-limit rooms. Features:
- Large oval table seating up to 14 players
- Higher minimums (often $100+)
- Players take turns handling and revealing cards
- Ceremonial card squeezing
- Slower pace, more social
Big baccarat is the classic experience, favored by serious high rollers.
Chemin de Fer
The original French version where players take turns being the Banker. The player-Banker covers all bets. This version is rare today and mainly exists in European casinos.
Punto Banco
The standard casino version where the house banks all bets. Both mini-baccarat and big baccarat are forms of Punto Banco. This is what you will find in virtually all casinos.
EZ Baccarat
A variation that eliminates the 5% commission on Banker wins. Instead, when Banker wins with a three-card total of 7, it pushes (no win or loss). This creates a similar house edge without commission tracking.
Dragon Bonus
A popular side bet paying for natural winners or winners by a large margin. House edge varies by paytable but typically ranges from 2% to 10%.
Table Etiquette
Baccarat, especially big baccarat, has traditions worth knowing.
Handling Cards
In big baccarat, players may handle the cards. The player with the largest bet typically reveals the cards. When handling:
- Use one hand
- Do not bend or damage cards excessively (though squeezing is expected)
- Reveal cards with ceremony—it is part of the experience
In mini-baccarat, the dealer handles everything. Keep your hands away from the layout.
Superstitions
Baccarat players are notoriously superstitious:
- Squeezing cards: Slowly revealing cards by bending them. Some believe this influences results.
- Blowing on cards: Supposedly blows away bad luck.
- Pattern tracking: Looking for trends in results.
- Lucky dealers: Requesting specific dealers or avoiding others.
Whether you participate in these rituals or not, respect others who do.
Commission Tracking
In some casinos, commission owed is tracked with chips or markers rather than deducted immediately. Keep track of what you owe. Settle your commission when leaving the table.
Tipping
Tipping dealers is customary but not required. Common practice: tip after a winning session or periodically during play.
Frequently Asked Questions
Conclusion
Baccarat combines simplicity with sophistication. You make one decision—where to place your bet—and the rest happens automatically. The house edge is among the lowest in the casino, and the pace can be as fast or as ceremonial as you prefer.
For optimal play: Bet Banker every hand. Accept the 5% commission as the cost of the best odds available.
For entertainment: Enjoy the ritual, track patterns if you like, participate in the ceremony of big baccarat. Just do not mistake superstition for strategy.
For bankroll management: Set limits, stick to Banker, and avoid the Tie bet.
Baccarat has survived for centuries because it delivers excitement with minimal complexity. Whether you are betting $10 at a mini-baccarat table or $10,000 in a high-limit room, the game remains the same elegant contest between two hands and one question: Banker or Player?
Good luck at the tables.
Baccarat Strategy & Smart Play Guides
9 min read
10 min read
Baccarat Game Variations
1.02% on Banker
1.06% on Banker