A handicap allowance is the percentage of the Course Handicap recommended for a handicap competition. Percentages will vary with the type of golf competition format used. Using handicap allowances prevents an unfair advantage for golfers with low or high handicaps.
To use handicaps allowances correctly, you must first determine a golfer's Course Handicap. Next, apply the appropriate handicap allowance for your golf competition. Lastly, if your group is using more than 1 tee or if men and women are using the same tee, the handicap allowance can also be affected.
See Section 9-4 of the USGA Handicap manual for a detailed listing of handicap allowances for various forms of stroke or match play.