Perhaps the last lesson poker players learn is bankroll management. There are no hard and fast rules for this part of a player’s game, and it is not a part of the game players are able to work on frequently. Bankroll management is a very important aspect of every player’s poker strategy though, so it should be carefully considered.
When most players start out they think of their bankroll as a pretty straightforward proposition. I know I did. I told myself, ”when I have more money, I will play at higher limit tables.” How simple was that? The problem was, I never put any more thought into it. I never asked myself how much money I should have before I move up to the next limit? I hope you have come here to explore that question for yourself, and I hope I can help you answer that question.
If you have been playing poker for more a few months you know there are going to be long stretches where you cannot buy a good hand. I does not matter what strategy you use; there will be a time when everyone calls your bluffs and someone has trips every time you get two pair. If you are playing at the lower limit of your bankroll, these stretches will break you.
I consider the lower limit of your bankroll to be 100 times the total big blind of the tables you are playing. Only if you have $100 total should you consider playing at one (1) one dollar table or two (2) fifty cent tables at the same time. Notice I said this is the lower limit of your bankroll. Playing with this bankroll strategy is what cost me my first $1500 of winnings and I hear similar stories all the time.
In my opinion, smart bankroll management for online poker is around 200 times the big blinds of the tables you are playing. This means if you have a $400 bankroll you should consider playing at a $2 table or two $1 tables. Do not think of this strategy as limiting your winnings, think of it as limiting your losses. This strategy requires a lot of patience, but if you go on the run of bad cards I mentioned above, you do not sacrifice your entire roll in the process.
Let me show you an example (maybe not very realistic, but hopefully informative) of why playing with this strategy is important. Let’s assume a 27 day stretch where you win 10 times the big blind every day for three weeks, then lose 20 times the big blind for 1 week. Here is the outcome for playing with a bankroll 100 times the size of the small blind.
100 times the big blind
| Day |
Roll |
Blind |
Winnings |
| 1 |
100 |
1 |
10 |
| 2 |
110 |
1 |
10 |
| 3 |
120 |
1 |
10 |
| 4 |
130 |
1 |
10 |
| 5 |
140 |
1 |
10 |
| 6 |
150 |
1 |
10 |
| 7 |
160 |
1 |
10 |
| 8 |
170 |
1 |
10 |
| 9 |
180 |
1 |
10 |
| 10 |
190 |
1 |
10 |
| 11 |
200 |
2 |
20 |
| 12 |
220 |
2 |
20 |
| 13 |
240 |
2 |
20 |
| 14 |
260 |
2 |
20 |
| 15 |
280 |
2 |
20 |
| 16 |
300 |
3 |
30 |
| 17 |
330 |
3 |
30 |
| 18 |
360 |
3 |
30 |
| 19 |
390 |
3 |
30 |
| 20 |
420 |
4 |
-80 |
| 21 |
340 |
3 |
-60 |
| 22 |
280 |
2 |
-40 |
| 23 |
240 |
2 |
-40 |
| 24 |
200 |
2 |
-40 |
| 25 |
160 |
1 |
-20 |
| 26 |
140 |
1 |
-20 |
| Total |
120 |
|
|
What you need to notice is Not your $20 profit after 27 days; you need to realize how much you lost. In the last week your bankroll lost $300, over 70% of your largest bankroll ($420). I don’t know about you, but losing that much of my hard earned money is really depressing, no matter how long you play this game. Now let’s look at a bankroll played at 200 times the big blind over the same period.
200 times the big blind
| Day |
Roll |
Blind |
Winnings |
| 1 |
100 |
0.5 |
5 |
| 2 |
105 |
0.5 |
5 |
| 3 |
110 |
0.5 |
5 |
| 4 |
115 |
0.5 |
5 |
| 5 |
120 |
0.5 |
5 |
| 6 |
125 |
0.5 |
5 |
| 7 |
130 |
0.5 |
5 |
| 8 |
135 |
0.5 |
5 |
| 9 |
140 |
0.5 |
5 |
| 10 |
145 |
0.5 |
5 |
| 11 |
150 |
0.5 |
5 |
| 12 |
155 |
0.5 |
5 |
| 13 |
160 |
0.5 |
5 |
| 14 |
165 |
0.5 |
5 |
| 15 |
170 |
0.5 |
5 |
| 16 |
175 |
0.5 |
5 |
| 17 |
180 |
0.5 |
5 |
| 18 |
185 |
0.5 |
5 |
| 19 |
190 |
0.5 |
5 |
| 20 |
195 |
0.5 |
-10 |
| 21 |
185 |
0.5 |
-10 |
| 22 |
175 |
0.5 |
-10 |
| 23 |
165 |
0.5 |
-10 |
| 24 |
155 |
0.5 |
-10 |
| 25 |
145 |
0.5 |
-10 |
| 26 |
135 |
0.5 |
-10 |
| Total |
125 |
|
|
In this scenario you have only lost $70, or around 35% of your largest bankroll, which is the main thing I want you to notice. By playing with patience you do not have the huge, heart wrenching swings you have when you play too aggressively. With this strategy your bankroll will last a lot longer, meaning you will have more fun in the long run.
