Bankroll Management: The Gambler's Survival Guide
Proper bankroll management separates recreational gamblers from problem gamblers. Learn how to stretch your playing time and minimize losses with these proven strategies.
Why Bankroll Management Matters
Even with perfect strategy, variance means you'll experience losing streaks. A proper bankroll ensures you can weather these downturns without going broke or chasing losses with reckless bets.
The 5% Rule (For Beginners)
The simplest bankroll strategy: Never bet more than 5% of your total bankroll on a single wager. This gives you 20 bets before going broke (though statistically you'll rarely lose all 20 in a row).
Example:
- Bankroll: $1,000
- Max bet: $50 (5%)
- For high variance games like slots: Reduce to 2-3% per bet
Advanced Bankroll Strategies
The Kelly Criterion
Mathematical formula that determines optimal bet size based on your edge:
f = (bp - q) / b
Where f is fraction of bankroll, b is odds, p is probability of winning, q is probability of losing (1-p).
Session Limits
Divide your bankroll into session amounts (e.g., 5 sessions of 20% each). When the session money is gone, walk away - no dipping into other sessions.
Tracking Your Results
Maintain a gambling journal tracking:
- Date/location/game
- Starting bankroll
- Ending bankroll
- Time played
- Key hands/decisions
