Gambling online is fun, but you want to protect yourself from mistakes that could cost you a lot of money. There’s nothing fun about losing your mortgage payment in a poker game. Follow these five tips so you don’t go broke gambling. You get to have all of the fun without the worry.
1. Know How Much Money You Can Lose
Everyone wants to win, but not everyone can win. That’s why you should enter every game knowing how much money you can afford to lose. Perhaps you have an extra $100 that you don’t really need. If you win, you’ll be happy, but if you lose at least you won’t go broke. That’s because you thought ahead and set aside money that you could afford to lose comfortably.
2. Know How to Play the Games
Learn the game’s rules before you start playing. No two games are exactly alike. Spend some time looking at odds, winning hands, and etiquette. Once you know the game on a theoretical level, get some playing experience by making small bets. Eventually, you’ll understand the game well enough that you can make larger bets when appropriate.
3. Create a Bankroll
If you don’t want to set aside a specific amount of gambling money each month, then you can create a bankroll that you always use. When you win money, the winnings go into the bankroll. When you lose, money comes out.
Do your best to keep some money in the bankroll so you never have to access your personal funds.
4. Set a Loss Limit
This is slightly different than gambling with money you can afford to lose. When you set a loss limit, you usually base that limit on how much you have in your bankroll. For instance, you might decide that you can lose up to 50 percent of your gambling bankroll before you walk away.
Maybe you’re playing against other people who know the game better than you. Maybe you just aren’t having a lucky night. Regardless, setting a loss limit tells you when it’s time to pack up and go home (or log out of your online account).
5. Set a Win Limit
Most people think about how much money they can afford to lose. That’s a smart way to make sure you never go broke gambling. However, setting a winning limit could also help.
When players win several hands in a row, they often start to think that they are on a “hot streak” or that they have luck on their side. That’s a dangerous illusion that can tempt you to keep placing bets even after you start to lose. You can decide to set a specific monetary limit or a percentage of your bankroll. That largely depends on how much cash you have in your bankroll and what goals you have set.
In the end, it doesn’t matter how you choose your win limit as long you stop while you’re ahead instead of giving other players a chance to earn their money back.
What strategies do you use to manage your gambling money? Have you ever lost more than you should?