Bankroll management in poker: A guide to money management

90% of beginner players lose all their money not because of poor play, but due to a lack of bankroll management. They play beyond their means and cannot withstand the first serious downswing. This guide is your insurance against ruin and a step-by-step plan for financial growth in poker.

What is a bankroll and why is it your main asset? 

A poker bankroll is the amount of money you have set aside exclusively for playing poker. This money is mentally and physically separated from your everyday expenses: rent, food, entertainment.

It is extremely important to understand: a bankroll is not just money; it is your main working tool. Like a hammer for a carpenter or a scalpel for a surgeon. Proper management of this tool allows you to play without the fear of losing your last funds and to make mathematically correct, rather than emotional, decisions under pressure.

The player's main enemy: Variance 

Variance is the natural ups and downs in poker caused by the element of luck. This is the very reason why your pocket aces sometimes lose to a pair of twos.

You may be ten times stronger than your opponents, but over a short distance (a day, a week, even a month), the result may be negative. This is normal. Such downswing periods, or "downswings", happen to everyone, even the strongest players.

[Image: A simple chart showing variance. A wavy line that goes up and down but generally has an upward trend (for a winning player). Caption: "The result of a winning player over the long term".]

Bankroll management is your financial "shield" that allows you to endure these inevitable downturns without going broke. It gives you enough cushion to wait until your skill and mathematical edge manifest over the long term.

Golden rules of bankroll management

This section provides clear, practical recommendations. We will measure bankroll in "buy-ins".

Bankroll for cash games (No-Limit Hold'em)

 The buy-in in cash games is the amount you sit down at the table with. A standard buy-in is considered to be 100 big blinds (BB). For the NL10 limit (blinds $0.05/$0.10), 1 buy-in equals $10.

Growth Strategy: Climbing and Descending Limits 

The goal of bankroll management is not only protection but also growth. Here’s how to properly move up to higher limits.

The "shot" rule for moving up a limit 

The essence of the "shot" (shot-taking): When your bankroll exceeds the requirements for your current limit, you can allocate a small portion of it (4-5 buy-ins of the new limit) to try playing at the higher limit.

Example: You are playing $5 tournaments and adhering to a standard bankroll of 200 BI ($1000). The next limit is $10 tournaments, for which by the same rule you need 200 * $10 = $2000. You can take a "shot" at the $10 limit when your bankroll reaches, for example, $1200. You set aside $50 (5 buy-ins of the new limit) for this attempt and register for several $10 tournaments.

The ability to move down is a sign of professionalism 

This is the most important rule that 9 out of 10 beginners break.

If your "shot" fails and your bankroll returns to the starting point (in our example — to $1000), you must immediately stop playing at the high limit and return to your working limit ($5).

This is not a failure. It is an expression of iron discipline. The ability to descend painlessly back to a lower limit to restore your bankroll is what distinguishes professionals from gamblers who lose everything to zero.

Conclusions: Your bankroll is your shield and working tool 

Bankroll management is not a restriction, but freedom. The freedom to play your best game without fearing an accidental loss or a downswing. It protects you from variance and allows your skill to manifest over the long term. Treat your bankroll as the capital of your business, and it will grow.

Proper money management is the foundation. The next step is to learn to make mathematically correct decisions in every hand to increase that bankroll. Our article "Poker Math: Pot Odds and Equity" will be your next step. And to get the complete system for profitable play, study our course "FF-Start".

FAQ

What should I do if I lost 5 buy-ins in one session? 

It is recommended to use a "stop-loss" — a pre-defined limit of loss for one gaming session. For beginners, this is typically 3-5 buy-ins. Upon losing this amount, you must close the tables and take a break to avoid playing in a state of tilt.

Do these rules apply to offline poker? 

Yes, the principles are absolutely the same. However, keep in mind that in offline casinos, the minimum limits are usually higher (for example, $1/$2, where the buy-in is $200), so the overall required bankroll amount will be significantly greater.

Can bonuses and rakeback be included in the bankroll?

 Yes, definitely. All money obtained from playing, including cleared bonuses, rakeback, cashback, and prizes in promotions, are a direct part of your poker bankroll.

[Button: Learn about the "FF-Start" course]