What is bankroll management?
A bankroll is all the money you have available to spend on games at online casinos. To do so, you would first have to identify how much money you are willing to spend on gambling, know how to use it as smartly as possible and pick the right games and bets. Some players would recommend choosing the right casino games with the best odds, and that is mostly true, but if you are unable to manage your money, you are risking blowing it away in one go.
Thus, bankroll management is the process whereby you assess the number of gambling funds you are due to risk in online gambling. This ensures that you have money left over and which you can use on another day.
If you place your entire bankroll on the line, in one go, there is a massive risk that you will lose it all in one go. To minimise risk and to have better control, you take a fraction of your bankroll to use in one session and leave the rest for another day.
Benefits of bankroll management
There are plenty of perks when you learn to manage your bankroll correctly. Read on:
- More extended gameplay with less risk: Knowing how much you are willing to spend without exceeding either your win or loss limit, ensures that you have money aside to cover for your losses.
- Smarter gambling: Keeping a good track of both your wins and your losses improves your mood as well as your odds of making smarter betting decisions.
- Plan ahead: Having a good idea of how much money you are going to gamble, gives you a better oversight of the future. You could either find a new Canadian online casino or play higher stakes games.
- Lower fees: Having money in your account means that you won’t be running regular bank transactions as you won’t have to make regular deposits.
Bankroll management: Knowing the basics
Knowing how to manage your bankroll is incredibly easy to comprehend and to master. You only need to use a small portion of your bankroll to gamble in one session. We would recommend using 10% of your bankroll for one session. Imagine you have a total of $500 to spend at any given Canadian casino. In this case, you will take out $50 to pay any way you choose in one gambling session.
If, unfortunately, you lose the entire amount, call it a day. Don’t take more money out of your bankroll. Next time you decide you want to gamble, you still have $450 to play with.
Alternatively, you can also do so, by managing your wagers more efficiently, depending on how much you’ve won or lost.
Let’s imagine that you have $50 that you are playing on Live Blackjack and you are placing $5 per hand, meaning that you have ten rounds to play. Before doing so, you need to comprehend when you need to set lower wagers. So, let’s say you have hit the $50, you can now change blackjack tables to place $3 a hand.
At the same time, if you succeed in increasing your money to $75, you can start playing at a table that accepts higher bets.
Having a bankroll strategy in place will help you make better plans for the future by knowing exactly how much you are winning and losing through gambling. Furthermore, it will help you minimise your losses, and capitalise when you are on a winning streak.
Deciding on the size of your bets is a critical part of managing your bankroll successfully. This applies to online slots and the number of spins, casino games of choice, or games at a live casino such as Live Roulette.
Volatility also plays a pivotal role in the size of your bets. Let’s take the game of Live Blackjack, for example. It is a low variance game since you are likely to win more frequently, but the wins are not as generous as those of high variance games. You can learn more about how to win live blackjack here.
On the other hand, casino games such as online slots are considered high variance as the wins don’t come by very often. Of course, when it comes to slot games, there are also games that are low variance.
You also need to work with a variance to speed things up in terms of winnings. If you are playing Live Blackjack, which is low variance, you can play with big bet sizes since you are very likely to win it all back.
That being said, you should always be mindful of your bankroll. Don’t play with money that you can’t afford to lose and remember to have fun. Managing your casino bankroll is only one part of it. You also need to keep your finances in line. If you are spending more than you can, then gambling is no longer fun.
Playing games for fun such as live baccarat and live roulette is one thing, but if you are frequently depositing, then you might have a gambling problem.
Top tips to successfully manage your bankroll
Have a budget in place
This is the number one golden rule. Online gambling should be seen as an expense. Similarly, you wouldn’t rent a home you can’t afford. See online gambling as an additional expense and never spend more than you can. Furthermore, never gamble more than you can afford to lose.
If you are sitting there thinking that you can go chase after your losses, thinking that the next round will be the winning one, think again. The house edge always catches up with players in the long run. You should have enough money that could withstand any losing streaks as they are bound to happen.
No matter how much you think you’re great at winning Live Roulette, you will still have a losing streak and a having a bankroll will help you roll with any losing streaks.
Set up a budget that works along with your lifestyle.
It is easy to lose control of your gaming expenses, especially when you start forgetting how many deposits you’ve made and if you cashed out any winnings. You might think you will remember these off the top of your head. However, writing it down will help you keep track of your expenses.
If you don’t, you can quickly lose control of your expenses. Having it written down the pen to paper will help you keep track of your losses and perhaps, be more careful.
Your bet sizes
We see this many times with players who don’t exactly know what they’re doing. If players don’t understand the importance of bankroll management, they can risk blowing all their bankroll in one go or else, on a single game. They then proceed to make another deposit to make up for their losses.
You need to be a smart , and you need to make bet sizes that are proportionate to your bankroll. Don’t make the mistake of losing control by making extortionate bets.
As a general look, look at your bankroll amount and never place bets that are more than 1%. If you have $50, then you shouldn’t put more $0.50 on a bet.
When you are winning at a specific casino game, you will feel something similar to happiness. This feeling is known as the “gamblers high”. When you experience this feeling, you are more likely to risk your money and keep on trying to achieve more wins.
It’s great when you are winning, and you should enjoy this feeling but have a limit in place. Say you have $50 to play with and have earned an additional $50, leading to $100 in total, call it quits.
Alternatively, if you are on a losing streak, keep calm and don’t lose control of your emotions. Sometimes, all it takes is a bit of patience until you start winning back your money.
Win back your deposit
Once you have built up your bankroll and have won back twice as much as you have put in, withdraw your initial deposit. This is a smart move as necessarily you are not at risk of losing your deposit, and thus, you are playing with funds you’ve won from the casino. You have successfully managed to make a profit.
There are a few things to keep in mind when you are gambling online. There are always winners and losers at a casino, but the key difference is the successful management of your bankroll. If you are smart with the games you are playing, have patience and make right decisions, managing your bankroll will become second nature.