The gaming systems and methods of the present disclosure provide a skill-based wagering game and determining the AEP % for each play based on the player's skill level. Generally, for a play of the skill-based wagering game, the gaming system receives a skill-based input from a player, derives a player skill level from the skill-based input, and determines an AEP % for the play based on the player skill level. The AEP % ranges from a minimum, nonzero AEP % to a maximum AEP %. The higher the player's skill level, the closer the AEP % is to the maximum AEP %, and vice-versa. The nonzero minimum AEP % appeals to low- and medium-skill players since they have a chance to win awards even if they perform poorly for a given play. High-skill players enjoy an advantage over their low- and medium-skill counterparts since they can use their high skill level to achieve comparatively higher AEP %'s.