What Arbitrage Betting Costs in 2026: Fees, Software and the Edge You Keep

The quick answer

Biggest cost: the trading fee on the prediction-market leg. At 50c a taker fee runs $1.74 to $1.75 per 100 contracts on Polymarket US and Kalshi.

Lowest cost to take a price: Novig, which charges no fee to either side on pre-game straight trades. Polymarket US pays makers $0.31 per 100 contracts at 50c.

Hidden cost: sportsbook vig, about $4.55 per $100 on a -110 line. It's already inside the prices your arb was built from.

Software: scanner subscriptions typically start around $100 a month, and live tiers cost more.

Funding: bank transfers are free on Novig and Kalshi; card deposits can cost 2% on Kalshi and 3% on Novig.

Taxes: winnings can be taxable, so keep a record of every leg.

Arbitrage costs more than the arb percentage suggests. In the worked month below, 40 arbs at 2% on $500 earn $400 gross. Routed through a Kalshi or Polymarket US taker, fees and an assumed $99 scanner turn that into a loss of about $50. With that leg on Novig before tip-off, the same month nets $301.

What counts as a cost

An arb percentage is computed from posted prices, so it already absorbs the sportsbook's vig, which sits inside the odds. That figure doesn't include anything charged when you trade, fund an account or file a return. Those lines come off afterward:

• Trading fees: charged per contract on most prediction markets, at execution.

• Funding: card deposit fees and the days a bank transfer takes to clear.

• Software: the scanner that finds the arbs.

• Capital: money parked across several accounts so either leg can be placed at once.

• Records: a log of every leg, which matters at tax time.

How we checked

Fees and funding terms come from each platform's own fee schedule or help center, all checked on 7 October 2026. Scanner prices vary by vendor and by region, so software is treated as a typical range, and the worked month assumes a $99-a-month subscription. Kalshi's fee schedule is the version effective 7 July 2026, and DraftKings Predictions' fee comes from DraftKings' own fee disclosure, opened 7 October.

Trading fees, per 100 contracts at 50c

Most prediction markets charge a coefficient x price x (1 - price) per contract, which peaks at 50c. An even-money side trades there, and so does the worked month below.

Novig's $0 applies to pre-game straight trades only. In-game trades, parlays and most futures carry a taker fee (tennis and golf futures don't), and makers pay nothing on any trade type.

Deposits, withdrawals and timing

Bank funding is free on Novig and Kalshi, so a card fee there is a choice.

Novig: bank transfers and stablecoin deposits are free. Credit cards, debit cards and Apple Pay cost 3%. A deposit has to clear, usually within a few business days, before it can be withdrawn.

Kalshi: bank deposits and debit-card withdrawals are free, while debit deposits may carry a 2% fee. A bank deposit fully settles within five business days, though Kalshi may credit part of it at once.

ProphetX: $10 minimum deposit. Withdrawals take up to 24 hours to approve, then one to five business days by debit card or bank, with wires available from $5,000.

Polymarket US: its fee schedule lists no deposit or withdrawal fee.

Software

Arbitrage scanners typically start around $100 a month for a prematch-only plan, and plans that add live arbs cost more. RebelBetting, BetBurger and OddsJam all sell arbitrage tools, and the price a vendor's page shows can depend on where you're viewing it from.

A pre-game arber with a few funded accounts needs only the cheapest prematch tier, and live arbs on prediction markets run into in-game taker fees, including Novig's.

The worked month

Forty arbs in a month at an average 2% on $500, with roughly $250 on a prediction-market leg of 500 contracts at 50c and the rest at a sportsbook. Gross profit is 40 x $10 = $400. Assume a $99-a-month scanner for software. Funding is by bank transfer, so $0.

Each fee line is per arb x 40. Kalshi: 0.07 x 0.50 x 0.50 x 500 = $8.75. Polymarket US: 0.0695 x 0.25 x 500 = $8.6875. DraftKings Predictions: 2c x 500 = $10. ProphetX charges 2% of the $250 gain only when its leg wins, so about 20 of 40 arbs pay $5. Polymarket US changed some fees again on 7 October 2026, so check its current schedule before relying on these figures.

A taker fee at 50c costs about 1.75% of the whole $500 position, nearly all of a 2% edge, so the second leg's venue decides whether the month makes money. A resting Polymarket US order would earn the maker rebate instead, though it fills only when someone takes it.

Funding Novig by card instead of bank adds 3%, so $2,500 deposited costs $75, a quarter of the month's net. If you keep $5,000 spread across four accounts so either leg can be placed at once, $301 is a 6.0% monthly return on that money, before tax.

Records: keep track of every leg

Winnings from betting and trading can be taxable. How they're treated depends on where you live and how a given product is classified.

Arbitrage produces a paper trail out of proportion to its profit, because nearly every position has a winning leg and a losing leg of similar size. Log each leg's date, venue, stake, price, fee and result as you go. Rebuilding a month of two-sided trades from account statements afterward is slow work.

What to look for

Fee window: on a venue that charges nothing pre-game and a taker fee in-game, place the prediction-market leg before the game starts.

Maker or taker: a resting order is free on Novig and paid a rebate on Polymarket US.

Funding method: use bank transfer and skip the 2% to 3% card fee.

Scanner tier: buy prematch only unless you'll trade live.

Net figure: subtract fees, software and funding from the arb percentage before you call it profit.

Arbitrage cost FAQ

What tools do I need to start arbitrage betting?

An arbitrage scanner, accounts at two or more sportsbooks or prediction markets, and a spreadsheet of every leg. A prematch scanner costs around $100 a month to start.

What betting app has the lowest juice?

Novig, for pre-game straight trades, where neither side pays a fee and there's no house vig in the price. A standard -110 sportsbook line carries about $4.55 per $100.

How much does arbitrage betting software cost?

Scanner subscriptions typically start around $100 a month for prematch arbs, and plans that cover live arbs cost more. Prices vary by vendor and by region.

Do prediction-market fees kill arbitrage?

At 50c, a $1.75-per-100 taker fee takes about 1.75% of the position, close to all of a 2% edge. A resting maker order, or a pre-game straight trade on a venue that charges nothing for it, avoids that fee.

Are arbitrage winnings taxable?

They can be. Treatment depends on where you live and on the product, so keep a record of every leg.

Sources

All checked 7 October 2026 except where noted.

Novig fee schedule: support.novig.com/en/articles/16195057-fees-on-novig

Novig deposit pricing: support.novig.com/en/articles/15062817-standard-and-discount-pricing

Novig withdrawable balance: support.novig.com/en/articles/16764991

Kalshi fee schedule: kalshi.com/docs/kalshi-fee-schedule.pdf (effective 7 July 2026), checked 7 October 2026; Kalshi help center, Card Deposits, Bank Deposits and Debit Card Withdrawals (updated August 2026)

Polymarket US fee schedule: docs.polymarket.us/fees (effective 1 October 2026, with a further change on 7 October 2026)

ProphetX help center: Understanding Fees; Available Payment Methods, Deposits and Withdrawals

DraftKings Predictions fee disclosure: myaccount.draftkings.com/documents/fee-disclosure?product=predict (Predictions standard pricing), opened 7 October 2026