Hi, K.V.

The dividends on Betfair are invariably better than the TAB because Betfair does not have a "take out" (except a small amount based solely on the the profit of a bet) whilst the TAB takes out 16% in every $1 wagered.

I'm assuming my Lay divvy with Betfair is 33% higher than the TAB divvy. So if a horse pays $3.00 with the TAB, then my assumption is that I laid it with Betfair at $4.00. This means that whilst the TAB pays the punter $3.00 I pay him $4.00 which is 33% higher then the TAB. 33% is only an arbitrary figure, and quite often you might be able to lay a horse, especially if it is the fave, close to the TAB price. In reality 33% might be too generous but when I'm looking at a system I tend to be somewhat conservative.

Hope this explains it clearly.
Michael.