We know you like sports betting – we all do. Betting on a particular outcome and waiting for the results give you that amazing feeling, and if you win, the payday will be a glorious one. However, as all players can tell, betting on sports includes losing too. Moreover, if you get too excited by that amazing feeling, you may take unnecessary financial risks and lose too much money.
There are bettors out there who are pretty good at predicting something, but in the long run, they still lose because they have no idea on how to manage their gambling bankroll. In other words, you need to learn about money management for sports betting.
Doing so will allow you to bet smarter and efficiently: By using money management sports betting systems, you can get the best bang for your buck, no matter what your actual budget is. And this is our goal in this article: We will talk about money management for sports betting systems, explain its importance with examples, and give lots of gambling money management tips so you can play like a real pro. Well, let’s start: We have a certain gambling budget and must learn how to use it.
What Is Money Management For Sports Betting Systems?
Sports betting is similar to a business: Sports bettors cannot become “rich” in a couple of days, by placing an “amazing” bet – that only happens in movies. Like a real business, you need a game plan, a budget, and a financial plan on using that budget efficiently. No business owner can “go nuts” when it comes to spending their money: They need to make wise decisions and use their budget according to their plans. Otherwise, they go bankrupt – it is as simple as that.
Well, the same thing applies to sports betting. You are also a business and you have a certain budget, which we will refer to as “bankroll”. Now, using all of your bankroll for a single bet does not seem like a smart move, right? You will be taking too many risks – if you want your business to survive, you must learn how to efficiently use that budget. And that requires learning about betting bankroll management. You must learn how to spend your budget, and how much of it should be deposited for a particular bet, for example.
Basically, if you want to survive and keep on betting, money management on sports betting should be the first thing you need to learn. Yes, we all like to analyze futures picks consensus scores, betting trends power rankings, and looking for the best odds picks, but none of these are important if you do not have a bankroll to use. And a money management strategy for sports betting can give you this: By using a system, you can get the best out of your gambling budget and lower the risk of going bankrupt as low as possible.
Why Should You Use A Money Management Strategy For Sports Betting?
Simply because doing so will let you place smarter bets. Money management for betting sports is not just a simple budget protection system. It lets you:
• Create a certain bankroll to use on betting sites,
• Understand how much wager should be staked on a given outcome,
• Withstand losses much better and prevents going bankrupt,
• Limit your wagers and eliminates the risk of “staking too much”.
Basically, money management in sports betting allows you to make better (and more rational) decisions. By creating a set of rules that will protect you from over staking, you won’t fall into the trap of “winning streaks”. And if it is a “losing streak”, you will always be able to keep a certain percentage of your budget and lower the risk of going bankrupt as low as possible. Basically, bankroll management sports betting is kind of a self-exclusion system: It sets limits for you whether you win or lose, and stops you from exceeding those limits.
Do you want an example?
Well, have you ever heard of “Stu Ungar” before? According to the authorities, he was the most successful poker player of all times. He won the World Series of Poker multiple times and was amazing in this game: He had a natural and unmatched talent. Do you know what happened to Stu Ungar? You probably do not because he lost all of his money just because he had no idea how to manage his bankroll. He played big, lost, and history forgot about him. In other words, sports betting money management is not required for beginners only: Professional players need it too.
Starting With Basic Sports Betting Bankroll Tips
Ok, we explained the importance of money management for sports betting, so let’s start giving actual examples. There is no single best money management for sports betting system, there are multiple systems you need to use together. Such as:
Start With A Fixed Betting System. This one is also known as “flat betting”. The idea is simple: You will use a certain percentage of your bankroll each and every time, no matter what the wager is actually about. It is a very simple sports betting bankroll management system and gives you a clear idea about the state of your budget. Here is an example:
• Let’s say your bet bankroll is 1.000 EUR per month.
• You decide to use 2% of this bankroll for every bet.
• This means you will place 20 EUR for each and every bet you make.
Simple, right? It is also effective – losing a couple of bets won’t bankrupt you and you can always stick to your staking plans. In this example, you will stop playing if you lose 1.000 EUR in a month. The “trick” here is resisting the urge to keep betting: If you lose all of your budget, you will stop betting until the next month. That way, you can limit your losses too. Fixed betting is a brilliant bankroll system but you must also know about these if you plan on using it:
• The percentage per bet should never exceed 3%. No matter what your budget is, each wager must cost between 1% – 3%. If it goes any higher, there is a risk of losing all of your budget in a short period.
• This system is good for simple wagers, not complex (exotic) ones. So, it will be less efficient for arbitrage betting, for example. Use it if you play standard and classic sports bets only.
• The system has a self-limitation. Even if you are sure about a particular outcome, you cannot place more than the determined percentage. This is actually a good thing as it stops you from taking unnecessary risks, but most players will find it too limiting.
Have A Separate Bankroll And Don’t Take Money From It. Yes, we know how exciting it is to withdraw your money, but using your payouts to increase your gambling budget will be a much wiser decision. First of all, make sure that you have a separate sports betting money. Determining the amount is your job but always pick a number that you can afford to lose. Think this bankroll as the starting capital of your business: Separate it from your other expenses and do not touch your winnings if you want a steady increase. This is exactly what happens in real life: Successful small businesses do not spend their earnings; they use them to grow bigger. Do the same – each and every payout should be used to increase your bankroll.
Keep Records And Check Them Often. Start taking notes about your sports betting history. Record all of your wins and losses, and how much money you spent on both. Betting money management is all about knowing what works and what doesn’t work: With these records, you can easily see if you are really good about a particular bet type and focus on it. Or, you can see which types of bets you lose money the most and stop wagering money on them. You will also create a personal scores standings stats database, which will help you to do research about sports teams. Lastly, keeping records will let you know how much money is left in your bankroll and plan accordingly.
Stick To The Plan And Create Stop Loss Limits. The urge to continuing to play is hard to resist but it is a technique you must master. No matter what the outcome is, you must create stop-loss limits and stick with them. We gave one example above: If your monthly bankroll is 1.000 EUR; stop playing after losing all of it. But you should also create a stop-loss limit for your winnings too. In other words, you should also stop playing after winning 1.000 EUR, for example. All bettors think that they will simply keep winning because they are on a “roll” but such a thing does not exist. If you do not have a win limit, you can continue to play and lose all the profit in a single bet. In short, create limits for wins and losses, and stick with them no matter what.
Use A Sports Betting Bonus. When used right, sports betting bonuses can be helpful and give you an extra bankroll with no charge. For example, a bet now deposit bonus will match your deposit amount with a certain percentage, and that bonus bankroll can be used for placing additional bets. Of course, you need to do this carefully: A “completely free” bet now deposit promotion does not exist and there is always a wagering requirement to complete. But if you pick the ones with low wagering rates and use the right online bookmaker, using bonuses can be a very efficient money management strategy for sports betting. Check this guide and website to see some examples: We already have some suggestions in this regard.
Advanced Money Management Tips For Sports Betting
Ok, these are the most basic money management for sports betting systems and they should be used by all beginners. But what about veterans? Or, what if you are after some additional (and advanced) techniques on money management? Well, there are also advanced money management for sports betting systems, which you can see below.
Switch To A Variable Betting System. We explained the fixed betting system above, but there is also a variable one. The difference is simple: Instead of using fixed percentages, you pick the bankroll amount to wager based on how likely that outcome to happen. You will still be playing in a range – for example, each bet won’t cost more than 5% of your general bankroll. But you can choose to spend 1% of it for a wager that is less likely to happen and 4% of it for another bet you are more certain. Here is an example:
• Your bankroll is still 1.000 EUR per month.
• There are two sports events you can bet on: You are almost sure about one of them and the other is a wild card.
• You can spend 5% of your bankroll (50 EUR) on that sure event and 1% (10 EUR) for the other.
Basically, a variable money management strategy for sports betting gives you more flexibility. If you think there is a good chance of an outcome happening, you can risk more money – this is the variable betting system in a nutshell. However, it also has some downsides:
• You must know what you are doing. To be able to use this system efficiently, you must have a really good idea about that sports event & make research. In other words, there must be some hard evidence to back up your prediction other than your “feelings”. This is not a good system for beginners – it should be used only by veterans and requires expertise.
• There is no such thing as a “sure thing”. Yes, the probability may be high but this is not a “guarantee”. So you must still use limits – a wager should never cost than 5% of your overall bankroll. Otherwise, you will risk too much money, no matter how confident you are.
• Stop-loss limits should still be applied. This technique is capable of creating false hopes, especially if it works. It may boost your confidence and you may start to think like “well, let’s increase the limit to 6% – what can go wrong?”. Thing is, once you start taking this road, you will just keep increasing those limits and we all know how it will end. Respect to your budget and limits.
Analyze Betting Trends And Consensus Scores Standings. Always check what the other players think before determining the wager amount. The crowd can be wiser than you think, and there are lots of odds futures picks consensus websites you can use. These sites also offer you standings stats game logs, which will be useful for your research. Check logs betting trends, take a look at the odds picks consensus, and try to find out what other players think about a particular bet by analyzing picks consensus scores standings.
Try The Kelly Criterion Betting System. This system is not developed for betting, but it can give you a better idea on the possibility of an outcome, and how much you should bet. Kelly criterion is developed by J. L. Kelly, Jr, in 1956. The idea was creating a formula that can be used to maximize wealth – this is actually an investment system. Kelly was trying to find out how much you should invest in a business offer based on hard data. For example, if you are playing on a heads-or-tails game, Kelly criterion shows that your wager amount should be 20% of the overall payout, which gives you the maximum ROI (return of investment) rate.
The mathematical formula is too complex to explain simply, but it looks like this: (a – b) / c = d. In this formula:
• A shows the potential payout,
• B shows the probability of winning,
• C shows the probability of losing,
• D shows how much we should invest.
Kelly criterion actually works but only if there is actual hard data to use. Basically, if you can add the payout and probabilities of winning/losing to this formula, it will show you how much you should bet and it will be a very accurate number. Thing is, the probabilities winning and losing are not hard data – they are based on personal expectations. In order for this formula to work, you must calculate the probability of winning and losing yourself, which is not an easy thing to do and won’t give accurate results. Two players can try the same thing and come up with different results.
In any case, if you think that you are capable of making such a calculation (for example, team A has 60% winning and 40% losing chance), Kelly criterion will give you very accurate results on how much to bet. But if you are that good to have this ability, we recommend applying to the nearest mathematics faculty. Kelly criterion is used especially for exotic wagers (such as arbitrage bets) and the parameters are usually taken from odds picks consensus scores. However, based on the figures you use; it can give quite volatile results. This is a useful formula and it can really help you, but do not use the results of the Kelly formula for a “boom or bust” strategy.
If the results seem too volatile, the formula may be misleading you or they may be something wrong with your parameters. Remember that J. Kelly developed this formula for economic investments, which already have enough data for accurate results. Sports betting is a different kind of beast: Even if you are amazing at calculating win/loss percentages, the results still will be just a prediction.
Stay Patient. You will spend a lot of time doing research, checking picks consensus scores and analyzing game logs betting trends. The success won’t come fast and it won’t be easy too. You must be patient and learn from your mistakes. Do not take unnecessary risks just because you scored a winning. However, do not lose hope just because you lost. There are things to learn from both of these – stay patient and keep trying. And yes, this is an advanced money management for sports betting tip because you will be surprised to hear how many bettors forget this fact. Because of the Hollywood movies, we think that sports betting will just be an adventure with minimum effort: Sure, we will lose a couple of times but we will score a big prize at the end. Thing is, the real world does not work like that. Unless you are particularly lucky, you won’t become a millionaire by playing sports betting. But if you work hard, show maximum effort to grow your business, stay patient and stick to a money management strategy for sports betting, the success will come.
Use The Correct Money Management Strategy For Sports Betting, Become A Better Player
That’s right: Using money management for sports betting really makes you a better player because it allows you to control your bankroll efficiently and make rational decisions. Money management for sports betting systems lets you avoid going bankrupt and taking unnecessary risks too: No matter what kind of wagers you like to take or your experience level is, you should use a money management strategy for sports betting, it is as simple as that. We already showed you the best ways to do this, but you are free to create your own strategies too.
In any case, do not forget to visit us often, as we constantly update our content. And if you are looking for a new online sports betting website to use these strategies, know that we have lots of suggestions to make, according to your geographical location. Moreover, we picked the best sports betting bonuses for you, which will increase your bankroll for free. You can pick any of them and use these techniques for the best results right now. May the Lady Chance always be with you – good luck!