by Matt Bourie

Welcome to our series of educational articles designed to enhance your gambling knowledge! 

In this installment, we’ll delve into the world of slot machines, guided by insights from John Grochowski, a nationally syndicated gaming writer and the author of several gambling books, including the popular Slot Machine Answer Book.

John has also appeared in multiple travel specials on casino gambling, making him a well-respected figure in the industry and he gives us some great tips on how slot machines work, plus insightful suggestions for playing them.

How Slot Machines Work

One of the most common questions players ask is, “How do slot machines work?” John says that modern slot machines are entirely computerized, relying on random number generators (RNGs) rather than mechanical components. This means that whether you’re playing a classic three-reel slot or a contemporary video slot with five reels, the outcomes are determined by the RNG, which generates random numbers that correspond to specific symbols.

A common misconception is that traditional reel slots offer better odds than video slots. However, John assures us that this isn’t the case. Both types of machines operate on RNGs, and programmers can set payback percentages for any machine within legal limits. It’s important to note, though, that generally, higher denomination machines tend to have higher payback percentages compared to lower denomination ones.

Payback Percentages and Regulation

Another frequent inquiry revolves around whether slot machines have fixed payback percentages. John clarifies that while each machine is programmed to reach a certain payback percentage over time, it doesn’t require a specific amount of money to be in the machine before it can pay out. In other words, a slot machine can hit a jackpot at any moment, regardless of prior payouts.

However, not all slot machines are regulated equally. Licensed casinos must adhere to gaming authority regulations, which typically include minimum payback percentages. For example, Nevada mandates a minimum of 75%, while Illinois sets it at 80%. Indian casinos, however, may operate under different rules based on compacts negotiated with state governments.

The Possibility of Changing Payback Percentages

Many players are curious if casinos can change the payback percentage of a machine after it’s been installed. John confirms that while it is possible to change these settings, it’s not a routine practice. Altering a machine’s RNG chip is a complicated process that sometimes requires oversight from gaming board agents.

Moreover, slot machines are not adjusted on a whim. There’s a common myth that machines perform differently on weekends compared to weekdays, but John assures us that this is untrue; payback percentages remain consistent regardless of the day.

Hit Frequency vs. Payback Percentage

Understanding the difference between hit frequency and payback percentage is crucial for players. Hit frequency refers to the percentage of winning spins, while payback percentage indicates the amount of money returned to players over time.

A machine might have a hit frequency of 12% and still maintain a payback percentage of 90% or 95%, highlighting that these two metrics are not synonymous.

The Rise of Server-Based Gaming

One interesting trend in the gambling industry is the introduction of server-based gaming. This technology allows games to be housed on a central server rather than in individual machines. With server-based gaming, casinos can quickly change games and payback percentages from a computer, enhancing player interaction through targeted promotions.

While server-based gaming is gradually being adopted, it is not universally available. Certain jurisdictions have yet to approve it, meaning traditional machines will remain commonplace for now. In Nevada, for instance, regulations ensure that slot machine payback percentages cannot be changed while a player is actively engaged with a machine, maintaining the integrity of the game.

Best Practices for Slot Players

So, what’s the best advice for players when it comes to slot machines? John emphasizes the importance of playing for enjoyment rather than solely for profit. Set a budget and stick to it—don’t bet money you cannot afford to lose.

While slot machines can offer exhilarating moments and thrilling jackpots, it’s vital to approach them as a form of entertainment.

Conclusion

Understanding how slot machines operate can enhance your gaming experience and help you make informed decisions. Remember, whether you’re drawn to the allure of classic reels or the excitement of video slots, the most important thing is to enjoy the game responsibly.

For more insights from John Grochowski and other gambling experts, check out his books, including the *Slot Machine Answer Book*, and stay updated through his monthly articles in various gaming publications. 

Happy spinning, and may your next game be a fun and rewarding experience!

Matt Bourie is the editor of the American Casino Guide book https://www.americancasinoguidebook.com/ He also co-hosts The Jackpot Gents YouTube channel https://www.youtube.com/@TheJackpotGents where he, and his father, Steve Bourie, release a video each day documenting their video poker play in a real casino. They also have a website at https://thejackpotgents.com/ where they provide an extensive collection of FREE articles and videos about how to be a better video poker player.