I am often asked why most players lose at poker. The answer is simple… bad capital management.
Many newbies think poker is a get-rich-quick scheme, but it's actually quite the opposite. You become rich in poker by taking it slowly and playing it to the best of your ability. If you don't have a bankroll, you can't play. Even if you are the most talented player in the world, if you don't have money in your name, you won't be able to play and earn money unless you're very lucky.
On the other hand, if you are smart with your money and always keep a decently large bankroll in relation to the games you play, you will maximize your chance of winning money indefinitely while improving your poker skills.
When I started playing poker 18 years ago, he was playing 25 ¢ - 50 ¢ Limit Hold'em. Even though I only had 100 big bets on my name ($ 50), I was able to increase my bankroll and work my way up slowly. Eventually I learned common knowledge that you need 300 big bets to play limit poker to only have a small chance of bankruptcy, so I followed this guideline until I reached $ 15 - $ 30.
Most people think it takes a long time to build a bankroll from scratch, but it doesn't actually take too long if you want to spend hours at the table. Let's look at math.
Assuming you can play four tables simultaneously, which is the minimum I suggest, you will be able to play around 250 hands per hour. If you win two big bets out of 100 hands in Limit Hold'em, you will win five big bets per hour. If you have 300 big bets in your current game this means you have 150 big bets at the next level. So it only takes you around 30 hours to double your bankroll and move up. You can easily do this in a week if you play full time and stay disciplined.
As for no-limit hold'em, which is by far the most popular form of poker, I suggest you keep at least 30 buy-ins for your current game, and preferably more. It is assumed that you are buying for 100 big blinds. If you are only buying less than what I recommend when you realize you have an edge (which usually means you shouldn't be playing first) you will need more buy-ins as you will get everything - more often with an average smaller edge .
In no-limit hold'em, a good player can win around 10 big blinds out of 100 hands when playing online. So assuming you can play 250 hands an hour, you will win 25 big blinds an hour. Every four hours you will win the buy-in, which means it will take you around 100 hours to double your bankroll. If you play full time, you can potentially double your bankroll in less than three weeks.
For multi-table tournaments, you should keep at least 100 buy-ins to your current level. There is much more discrepancy in multi-table tournaments than in most other variations of poker because you only win a significant amount if you earn one percent of the top field, which is difficult. For sit-n-go tournaments, you must also keep at least 50 buy-ins.
Remember, the numbers given are the minimum amount required! If you lose a few buy-ins playing no-limit hold'em and no longer have 30 in your bankroll, you have to keep lowering your stakes until you can take another shot.
Ideally, if you plan on playing professionally, you should keep about twice as much as the suggested numbers. If you are playing difficult games where your win ratio will be lower, you should also have a bigger bankroll. If you're playing games with very high variance, such as 1,000-player tournaments, or a volatile game like Pot-Limit Omaha, you'll need an even bigger bankroll.
To learn more about managing your capital, check out my free Bankroll Bible at PokerCoaching.com. As long as you play a lot of games where you have an edge with the right bankroll, the money will flow towards you. If you don't, you are gambling.
