Poker Bankroll Management – A Practical Guide for 2024

Poker bankroll management is instrumental to protecting your finances, reinforcing discipline at tables, and long-term success. In this article, we cover everything you need to know about how it works and about how to choose the right stakes by offering practical examples, graphs, and tips. Let’s get straight into it!

What Is Poker Bankroll Management?

Poker bankroll management is a vital part of the poker strategy used by all professional players. It involves setting aside a specific, affordable portion of your funds exclusively for poker.

This dedicated bankroll is not simply your savings; it is a carefully calculated amount you’re comfortable risking without it negatively impacting your finances. Bankroll management is the process of handling your funds in a way that maintains, protects, and ideally increases your bankroll while playing poker.

Simply put, the idea is to choose stakes relative to your total bankroll, which will withstand the inherent variance of poker. Using this approach, you can maintain consistent gameplay, even during losing streaks, without dipping into personal funds outside your bankroll.

Effective bankroll management prevents players from losing too much in a single game or tournament and inherently encourages a more cautious style of poker. Essentially, the priority is long-term and consistent profitability rather than chasing large, quick wins. While this method requires discipline and patience, it greatly reduces financial stress and stops players from going on the tilt.

How Does Variance (Luck) Affect Bankroll Management in Poker?

Variance, essentially the mathematical name for luck, is an inevitable aspect of poker. It refers to the fluctuations of luck that a player will experience during their gameplay.

While eliminating variance isn’t possible, you can mitigate its effects by ensuring that your bankroll is large enough to withstand these ups and downs. The worst of the common poker mistakes you can make is depleting your entire bankroll, which forces you out of the game. Keeping a bankroll that covers at least 50 to 100 buy-ins is a good safety net to protect yourself from any streaks of bad luck

How Do Bonuses Affect Your Poker Bankroll Management?

Taking advantage of bonuses is a smart way to expand your bankroll for online poker without dipping into your own pocket, as these bonuses reduce the financial risk while still offering real-money payouts.

Most poker platforms will offer generous welcome bonuses to encourage new players to join. It’s a great opportunity to maximise your first deposit, and there’s no one stopping you from signing up to multiple sites to benefit from different promotions.

Another typical bonus at poker sites is reload bonuses, where you essentially get more bang for your buck. Some platforms will offer free entry to tournaments, so you can compete for real money or prizes without that initial fee. Keep in mind that bonuses typically come with certain playthrough requirements before you can cash out any winnings.

Explore our leading online casinos so that you can sign up to claim generous bonuses for your poker gameplay.

How To Build Your Poker Bankroll

Building your poker bankroll is a gradual process that requires patience on your part, involving the steps below. Of course, before you begin this, you must understand the rules of the game, the different variants, poker positions, and betting strategies. Whether you’re a beginner with a small starting amount or an experienced player wanting to take our game to the next level, managing your bankroll is crucial for consistent winning.

Step 1: Look at Your Financial Situation.

How should you decide your bankroll when this is unique to you? Well, the most obvious part of this—the amount—varies from person to person, as everyone has different financial situations and risk tolerances. A good idea is to write down or put your income and expenses into a spreadsheet for each month to give you a clear picture, and then begin by tallying up your essential expenses to calculate your disposable income. This will help you see how much you can comfortably spend playing poker.

Step 2: Set A Clear Budget & Stick to it

Now, you can decide the amount from your disposable income you’ll use for poker each month. Ideally, it should be big enough to be interesting or worthwhile for your gameplay, but not so high that it’ll negatively affect your finances. As a rule of thumb, you should only bet what you can afford to lose. Based on our earlier example, you might decide that you’ll want to use $150 from your disposable income for poker. This €150 will become your poker bankroll.

The most important thing is to never play outside your bankroll to prevent any financial strain or impulsive decision-making. Your bankroll should be treated as an investment—frequently reloading, because you can defeat the purpose of steadily building it up.

Step 3: Select Your Stakes.

Poker stakes refer to the betting limits set for a game, which are the minimum and maximum amounts that can be bet. Players decide the stakes in poker based on their skill and experience level.

Because your aim is to build your bankroll, you don’t want to jump straight into high-stakes games where you’ll likely risk significant money. As your bankroll increases with your gameplay, you can gradually increase the stakes. You should then only move up when you’ve established a comfortable cushion to allow you to handle the larger swings. The reverse is also true; if your bankroll takes a hit, move back down to smaller stakes.

Based on our example, where the bankroll was €150, we recommend beginning with micro-stakes games and occasionally venturing into low-stakes games as you gain confidence.

Step 4: Reinvest in Your Bankroll

It can be tempting to cash out when you’ve experienced a winning streak. But if you’re consistently winning at the same stakes, it might be wise to reinvest some of those profits into playing higher ones. This should be done gradually, adding an occasional high-stakes game into the mix to test the waters. When it comes to bankroll management, the aim is to expand your poker abilities while maintaining a safety net.

Step 5: Keep a Record of Your Games

Monitoring your bankroll is essential in analysing and improving your gameplay. You can see when you’re making profits and facing losses, which helps you uncover the potential reasons for these trends. You can track this manually, but it is easier to use dedicated software tools and apps to track, which we’ll explore further later on. Reviewing this regularly can give you a clear picture of your habits and patterns.

How Bankroll Building Can Work in Poker

Bankroll building depends on your risk tolerance, choosing the right stakes, and setting goals for moving up. This really comes down to your unique situation, but we’ve provided three examples to see how it can be tailored to different styles or objectives.

Here are a few key terms to be aware of:

• Blinds – The blinds are the forced bets in games like Texas Hold ‘Em and Pot-Limit Omaha. There is a Small Blind (SB) and a Big Blind (BB).
• Buy-In (Cash Games) – The buy-in is the amount of money a player needs to enter a specific game. For cash games, the standard buy-in is usually 100 times the big blind. This standard sizing ensures players have a sufficient stack relative to the blinds. Let’s say the big blind for a game is €1; the standard buy-in would be €100.
• Buy-Ins (Bankroll Management) – “Buy-ins” in bankroll management refer to how many times a player can afford to enter a game at a specific stake level with their bankroll. If a player has 50 buy-ins, they can enter games at that stake level 50 times.
• Buy-In (Tournaments) – A buy-in is the entry fee for a tournament. Most of the money goes to the prize pool, and the house keeps a small portion as an entry fee.

Example One – Player A (No Limit Hold ‘Em)

Player A participates in online micro-stakes No-Limit Hold ‘Em games with blinds of €0.02/€0.05. Each week, they play around 25 hours and have an average win rate of €2 per hour. The typical buy-in for cash games is 100 times the big blind, so the standard buy-in would be €5. Player A is a beginner to poker, so they want to take a more conservative approach. They start with a bankroll of €300 for this reason, so they have 60 buy-ins (300 / €5) in their bankroll.

Player A’s plan is to progress to the next level where blinds are €0.05/€0.10. The typical buy-in might be around €10 (100 x €0.10). If they want to maintain their 60 buy-ins, their target bankroll would be €600 (60 x €10). With weekly earnings of €50, Player A could expect to reach this new target bankroll in about six weeks with their current performance.

Example Two – Player B (Multi-Table Tournaments)

Player B focuses on online multi-table tournaments with buy-ins of between €50 and €100 in entry fees. They aim to play 10 tournaments a week at this level and occasionally enter high-stakes events. In the past, Player B has had a solid track record of a 15% average return on investment (ROI) over 500 tournaments.

Tournament play tends to be more volatile than cash games, often resulting in longer stretches without securing a win. As a result, it’s important to have a larger bankroll relative to your buy-in size. It is recommended that players maintain a bankroll that can cover at least 100 buy-ins.

With an average entry fee of €75, the ideal bankroll would be €7,500 (100 x €75), allowing players to handle any swings. Ideally, with a bankroll of €7,500, Player B can comfortably achieve their objective of 10 tournaments and sporadic high-stakes events. However, Player B currently has a bankroll of €5,000.

To achieve their €7,500 goal, they should play conservatively initially, focusing on tournaments with buy-ins closer to €50. With a 15% ROI on a €50 buy-in, Player B’s profit per tournament would be €7.50. Assuming that they play 10 tournaments per week, it would take about eight months for their bankroll to go from €5,000 to €7,500 with consistent results.

Example Three – Player C (Pot-Limit Omaha)

Player C enjoys Pot-Limit Omaha (PLO), known for its higher variance and requirement for a larger bankroll. As an experienced player, they usually play mid-stakes PLO games at blinds of €1/€2. Each week, they play roughly 20 hours and have an average win rate of €25 per hour.

Typically, the higher the variance of the game, the more buy-ins you would need to have in your bankroll. A standard PLO buy-in at this level is around 100 to 200 times the big blind because of the game’s higher variance. However, Player C likes to take more risks, entering these games with a €250 buy-in. For Player C, we would recommend starting with at least 60 buy-ins to cushion against the game’s fluctuations. This means they’d need an initial bankroll of €15,000 (60 x €250).

Player C’s objective is to move to higher-stakes games at blinds of €2/€4. At this level, the buy-in would be €500 based on their previous gameplay. To comfortably move up to this level while maintaining their aggressive approach, they should keep a buffer of 60 buy-ins. They’d need to reach a bankroll of €30,000 (60 x €500). If Player C has weekly earnings of around €500 (20 hours x €25/hour), they can expect to reach this goal in around 30 weeks.

However, after five weeks of playing, Player C has a considerable losing streak, which sets them back quite a bit. Their bankroll is only at €12,000, having lost €3,000 from their original amount. This isn’t unusual for Pot-Limit Omaha but, because of this setback, Player C should play more conservatively, switching to low-stakes games, being less aggressive, and adjusting their buy-in strategy.

Top 5 Tips on How to Manage Your Bankroll in Poker

Now that we’ve covered the basics of poker bankroll management, there are a few additional key points to keep in mind. Remember these essential tips on how to play poker while managing your bankroll.

1. Avoid Rebuy Tournaments: If you want to build your bankroll, steer clear of rebuy tournaments, which give you another chance in the game after being eliminated. This will only drain your funds more rapidly. Although the entry fee might seem minimal, as the game progresses, it becomes necessary to rebuy or add on chips to increase your chances of winning. Before you know it, you’ve entered several times over, snowballing your anticipated expenses and sabotaging your bankroll management plans. The best thing is to go for standard tournaments without the option for rebuys or additional buys to help you stay in control of your finances.
2. Stay Away from Auto Top-Ups: On some sites, you can set up your account to automatically refill your balance. For instance, if the maximum table buy-in is €50, your balance will automatically reset to €50 whenever it goes below that. This can hinder effective bankroll management because it makes it more difficult to monitor your exact losses. It’s better to turn off the auto-refill option. This way, once your funds are depleted, you’ll be aware that it’s time to stop playing.
3. Don’t Register Late: Most tournaments offer a feature known as late registration, allowing players to join even after an event has kicked off. Those who register late are given the same number of chips as those who signed up from the start. However, because the tournament has already advanced, the relative value of these chips is often lower compared to the average stack already in play. You can easily prevent this by registering at the right time, starting with an equal footing with other players.
4. Don’t Be Afraid to Lower Your Stakes: Players facing a losing streak should consider dropping down a level in their stakes. Lower stakes mean less pressure, which can be a game-changer when you’re in a slump. While this might seem demotivating, there isn’t anything wrong with it. Poker is a game full of ups and downs, so it’s only natural that this might occur at some point with long-term gameplay. Even the most skilled players will do this to protect their bankroll. It allows you the opportunity to regain confidence, strengthen your bankroll, and increase your funds for future games.
5. Know When to Take a Break: Poker bankroll management is intended for consistent players. However, if you face a losing streak, it can be draining and disheartening. Don’t underestimate the effect of a negative mindset; it’ll only impact your gameplay further. If poker is no longer fun, the best thing to do is to step away for a while. This might be frustrating if you have a specific plan and timeframe in mind. However, you can just pick up where you left off when you return, which is better than continuing to play with a clouded mind. Taking a break allows you to reset, regain focus, and come back with a clear perspective.

Poker Bankroll Management Software

Nowadays, it is also easier than ever to manage your bankroll with dedicated apps and software to track your gameplay and progress. Below are a few top software options for poker players.

Poker Stack App

Poker Stake’s sophisticated app shows its detailed dashboard that tracks overall earnings, recent wins, session duration, and a graph showing your bankroll progress. (Source: Poker Stake)

Poker Stack is a sleek and modern app designed to help you track your games and money. You simply enter the amount you buy-in and cash-out at a poker table—whether online or live, as it happens—and it’ll keep a detailed record of your transactions and results. You can then view and analyse your performance over time with in-depth statistics and graphs.

Poker Bankroll Tracker

Poker Bankroll Tracker’s modern app shows a personalised dashboard with metrics for a player’s last Texas Hold ‘Em session. (Source: Poker Bankroll Tracker)

Poker Bankroll Tracker is used to monitor and manage your poker session. On the app, you can take advantage of session tracking, hand replaying, and a suite of analytical tools like calculators for odds, deals, and payouts. Users can record details of their poker sessions, track their bankroll, look at stats, and identify potential leaks in their game. You can even connect with friends to view their sessions.

Nash Bankroll

Nash Bankroll’s iOS app displays a sleek interface where players can view their poker sessions, winnings, and an activity graph of performance. (Source: Nash Bankroll)

Nash Bankroll is an app that provides detailed management of poker finances and gameplay statistics. Users can track all forms of poker, including cash games, tournaments, and finances. You’ll be given detailed summaries and statistical breakdowns of your performance. For premium users, there are charts, graphs, and statistics available. It is only accessible to Apple users and sadly can’t be downloaded on Android.

Poker Bankroll Management: Our Verdict

Poker bankroll management is not only essential in protecting your funds, but also in improving your chances of long-term success. By establishing your bankroll, choosing the right stakes, and staying disciplined in your gameplay, you can grow your skills and funds. Remember, it’s a marathon, not a race!

Bankroll Management in Poker: Our Sources

• The Intelligent Poker Play – A 2011 book by Phillip Newall that details how to mitigate risks and practise effective bankroll management in poker.
• What Differentiates Professional Poker Players from Recreational Poker Players? A Qualitative Interview Study – A 2012 article by Abby Cormack and Mark D. Griffiths looking at data from professional and recreational players to see how discipline affects results.