What Is Matched Betting and How Does It Work?
In this guide:
Matched betting—also known as no-risk matched betting—is one of the smartest ways to make money online in Australia. It's a low-risk, tax-free strategy used across Australia to profit from bookmaker promotions. While the term includes the word “betting,” make no mistake—matched betting is not gambling. It’s a mathematical strategy that allows you to profit from the free bet promotions and offers given out by bookmakers.
If you've ever searched for how to make money online or best side hustles in Australia, matched betting is the kind of strategy that rarely shows up on mainstream lists—but it should. It’s legal, data-driven, and incredibly profitable when done right. In this guide, we’ll break down:
- ✅ What matched betting is
- ✅ How it works (step-by-step)
- ✅ Why it’s not gambling
- ✅ How much you can realistically make
- ✅ What you need to get started
- ✅ Common myths and mistakes
What Is Matched Betting?
Matched betting is a strategy used to make guaranteed profits by using free bets and bonuses from bookmakers. It works by placing two bets: one on a bookmaker using a bonus, and one on a betting exchange or second bookmaker to cover the opposite outcome. This ensures you win money regardless of the event result.
The key to matched betting is in the mathematics. By covering all outcomes of an event, you’re not gambling—you’re hedging. And by doing this with a free bet or promo, you’re turning marketing dollars from bookies into real, risk-free cash.
Why Bookmakers Offer Free Bets
It might sound too good to be true, but there’s a reason matched betting works. Bookmakers are constantly competing to attract new customers. They offer promotions like “Bet $50, Get $50” or “Money Back if You Lose” to get you in the door.
Most people use the free bet without thinking—hoping to win. But with matched betting, you don’t hope—you calculate. You lock in a profit by hedging your bets correctly, no matter what happens in the game.
How the Matched Betting Strategy Works (Step-by-Step)
Let’s break down the process using a real-world example:
Step 1: Sign Up for a Promotion
You find a bookmaker offering a welcome promo like: “Bet $50, Get $50 Free Bet.”
Step 2: Place a Qualifying Bet
You place a $50 real-money bet with the bookmaker. Let’s say it’s on Team A to win.
Step 3: Hedge the Bet
You place a lay bet on a betting exchange (or bet on Team B with another bookmaker) to cover the opposite outcome.
Step 4: Receive the Free Bet
Regardless of what happens in the match, you’ll now get your $50 free bet.
Step 5: Repeat the Process
You repeat the process with the free bet—placing it on one side, and hedging the other—turning that bonus into real, withdrawable profit.
$50 free bet placed on Bookmaker A = potential winnings of $40 (after hedge)
Hedge placed on Exchange B = loss of $5
Total profit = $35
Is Matched Betting Legal in Australia?
Yes—matched betting is 100% legal in Australia. You’re simply taking advantage of publicly available promotions using a proven strategy. You’re not breaching bookmaker terms (as long as you play within their rules), and there are no laws against placing bets with different providers.
Is Matched Betting Tax-Free in Australia?
Yes, matched betting profits are not taxed in Australia. The ATO treats gambling winnings (and matched betting falls under this category) as tax-free windfalls, not income. This is one of the biggest advantages over traditional online businesses or gig work.
How Much Can You Make?
Here’s a realistic breakdown of earning potential:
| Stage | Time Investment | Potential Profit |
|---|---|---|
| Welcome Bonuses (First Month) | 5–10 hours | $1,000–$2,000 |
| Weekly Promos (Ongoing) | 2–3 hours/week | $300–$800/month |
| Advanced Strategies | Varies | $1,000+/month |
It’s not uncommon for users to make $5,000–$10,000 in their first year. And unlike traditional side hustles, you can pause or scale based on your schedule.
What You Need to Get Started
- ✅ A computer or smartphone
- ✅ A few bookmaker accounts (e.g. Bet365, Ladbrokes, Sportsbet)
- ✅ Access to a betting exchange like Betfair
- ✅ A tracking spreadsheet or matched betting software
- ✅ Around $100–$300 starting bankroll
Matched Betting Software (Is It Worth It?)
There are both free and paid tools that help automate the matched betting process. These services help you find matches, calculate stakes, track bets, and spot new promos.
If you’re serious about maximizing profit and saving time, a small monthly fee for software can be well worth it. It eliminates guesswork and reduces human error.
Common Myths About Matched Betting
“It sounds like gambling.”
→ No. You’re covering every outcome. There’s no risk when done correctly.
“Bookmakers will ban me.”
→ Some may limit your account if you're too obvious, but there are plenty of techniques to avoid detection (e.g.,
betting patterns, timing, using multiple sites).
“I’m not good at maths.”
→ That’s okay! The software and calculators do all the work. You just need to follow the instructions.
Matched Betting vs Other Side Hustles
| Side Hustle | Time Investment | Risk Level | Scalability | Profitability |
|---|---|---|---|---|
| Matched Betting | Low–Medium | Zero | High | High |
| Dropshipping | High | High | High | Unpredictable |
| Freelancing | High | Low | Medium | Medium |
| Surveys | High | None | Low | Very Low |
Tips for Long-Term Success
- 🎯 Stay organized: Track everything in a spreadsheet or use software
- 🧠 Keep learning: Follow communities, blogs, and update strategies
- 🔒 Be stealthy: Don’t always max stakes; blend in with casual users
- 🗕️ Stay consistent: Check weekly promos and reload offers
Matched Betting FAQs
What is matched betting?
Matched betting is a risk-free strategy that uses bookmaker promotions to guarantee profit. By betting on all outcomes of an event using free bets or bonuses, you can lock in a return regardless of the result.
What is matched betting in Australia?
In Australia, matched betting is completely legal and tax-free. Australians use matched betting strategies to turn welcome bonuses and reload promotions into cash without gambling risk.
What is a matched betting strategy?
A matched betting strategy involves placing two bets—one to back and one to lay—on the same event. When done with bonuses or free bets, it guarantees a profit regardless of the outcome.
What is no-risk matched betting?
No-risk matched betting is the same concept: you remove the chance of loss by covering all outcomes. It’s not gambling—it’s exploiting promotions with mathematics.
Final Thoughts
Matched betting is one of the most powerful, proven, and underutilized side hustles available in Australia. It’s tax-free, low-effort, and incredibly scalable when done correctly. You don’t need experience. You don’t need to gamble. You just need a bit of time, the right tools, and a willingness to follow a system.
Whether you’re saving for something big or just want some extra income, matched betting gives you an unfair edge in the online money game.
If you're looking to test the waters with a low-risk strategy, matched betting is a great place to start. In fact, we've put together a simple breakdown on how to make your first $200 using sign-up offers and basic matched betting tactics—perfect for beginners.
Start your journey today—while the promos are still flowing.