Why Bankroll Management Matters
Even winning poker players experience losing streaks. Variance — the natural swings of luck — can devastate an underfunded bankroll.
The math is brutal:
- A player with a 55% edge can still lose 10 sessions in a row
- Bad beats happen to everyone
- Running bad can last weeks or months
Proper bankroll management protects you during downswings.
Cash Game Guidelines
Conservative (Recommended for Beginners)
- 30-40 buy-ins for your stake
- Example: $6,000-$8,000 for $1/$2 ($200 buy-in)
Standard (Experienced Players)
- 20-30 buy-ins
- Example: $4,000-$6,000 for $1/$2
Aggressive (Professionals Only)
- 15-20 buy-ins
- Example: $3,000-$4,000 for $1/$2
Tournament Guidelines
Tournaments have higher variance than cash games:
| Tournament Type | Buy-ins Needed |
|---|---|
| Single Table SnGs | 50-100 |
| Multi-table (small fields) | 100-150 |
| Multi-table (large fields) | 200-300 |
| High variance formats | 300+ |
The Moving Up/Down Rules
Move Up When:
- You have the bankroll for the next level
- You’re crushing your current stake (5+ BB/100 over 50K+ hands)
- You feel comfortable at the higher stake
Move Down When:
- Your bankroll drops below the minimum
- You’re not beating the game
- You feel out of your depth
Never let ego keep you at a stake you can’t afford.
Calculating Your Win Rate
Your win rate determines how much bankroll you need:
| Win Rate (BB/100) | Risk Level | Buy-ins Needed |
|---|---|---|
| 1-3 BB/100 | High | 40+ |
| 3-5 BB/100 | Medium | 25-30 |
| 5-8 BB/100 | Low | 20-25 |
| 8+ BB/100 | Very Low | 15-20 |
Higher win rates = smaller bankroll requirements.
The Variance Formula
Standard deviation in poker is roughly 80-100 BB/100 hands. This means:
- In 100 hands, you might win or lose 100 big blinds regardless of skill
- In 1,000 hands, you might be up or down 300 BBs
- It takes 50,000+ hands for results to stabilize
Practical Example
Scenario: You play $1/$2 with a $4,000 bankroll (20 buy-ins).
Month 1: You win $1,500. Bankroll = $5,500.
- Do you move to $2/$5? NO — you only have 11 buy-ins at that level.
Month 2: You lose $2,000 (bad run). Bankroll = $3,500.
- Still have 17.5 buy-ins for $1/$2. Continue playing.
Month 3: You win $800. Bankroll = $4,300.
- Stay the course. Variance is high.
Common Mistakes
1. Playing Too High
Starting at stakes you can’t afford. One downswing = broke.
2. Chasing Losses
Moving up to “win it back” usually accelerates losses.
3. Ignoring Variance
Thinking short-term results reflect skill.
4. Living Off Your Bankroll
For professionals: keep living expenses separate.
5. One-Time Shots
Putting your entire bankroll in a single tournament.
The Golden Rules
- Never play with money you can’t lose
- Move down before you go broke
- Track your results religiously
- Separate poker money from life money
- Be honest about your skill level
Final Thought
Bankroll management isn’t exciting. It won’t make you feel like a high roller. But it will keep you in the game when variance hits.
The best players in the world have all gone broke at some point — usually because they ignored bankroll management. Don’t repeat their mistakes.
Stay in the game, and the money will come.