Betting Money Management Skills

Managing money wisely is one of the necessary skills for a successful bettor. Appropriate sports betting bankroll management will minimize losses, increase profits, and make betting more enjoyable. 

Take a look at our article below to become an expert on betting money management.

There are specific strategies in betting to help you manage your bankroll and avoid unnecessary spending. 

Kelly Criterion is a formula that helps you decide how much money to bet based on your confidence in winning.

The formula is f = (bp – q) / b*

While the letters stand for:

f – the percentage to bet
b – odds minus one
p – chance of winning
q – chance of losing

By following Kelly Criterion, you’ll avoid betting too much and, over time, grow your money.

Flat betting is a strategy in which you bet the same amount of money without considering the odds or confidence in the results.

Usually, the bet amount is 1-2% of a bettor’s bankroll, and it doesn’t change, no matter how confident they are. 

Flat betting is simple to follow and guarantees low-risk bets and long-term stability.

However, with flat betting, bettors can miss out on larger profits as it doesn’t take advantage of favorable situations.

Percentage betting is a strategy in which you bet a fixed percentage of your total bankroll.

The difference between flat betting and percentage betting is that you adjust the size of a bet depending on how your bankroll grows.

Usually, bettors choose 1-5% of their bankroll, and the amount they bet adjusts accordingly to the sum in the bankroll.

A percentage betting strategy helps you manage your finances, reduces the risk of losing too much money, and grows your bankroll over time.

However, if you have a small starting bankroll, it can take time to see results with percentage betting.

Stake betting allows you to have a fixed amount of money for each bet. 

Stake betting is simple to follow, keeps the betting size consistent, and helps to avoid big risks.

However, if you’re on a losing streak and your bankroll decreases significantly, you can risk losing a large portion of your assets, as stake betting doesn’t have flexibility.

A unit betting strategy involves placing a bet based on a set unit size, usually a small percentage of the bankroll. 

With unit betting, you always bet in multiple units based on your confidence levels.

Unit betting makes it easy to control risk, adjust the bets, and manage the bets for bettors.

However, with unit betting, you must maintain discipline to avoid risks and be patient, as it can take a while to increase your bankroll. 

Proportional betting is about betting a certain percentage of your bankroll based on your confidence or the value you see in the bet.

With proportional betting, the bet amount changes according to the size of your bankroll and how favorable the bet is.

Proportional betting lets you take advantage of favorable bets, helps grow your bankroll over time, and minimizes losses when your bankroll decreases.

However, the strategy requires careful analysis of analysis to predict your confidence level in each bet correctly.

Proportional betting is most suitable for bettors who want flexibility on bets and have a strong understanding of statistics.

There are several techniques to help you create your betting money management wisely.

The Fibonacci focuses on the Fibonacci sequence, where each number is the sum of the two last numbers  (1, 1, 2, 3, 5, 8, 13, etc.). This technique is a common method to do betting money management during losing and winning streaks in betting.

You start by betting 1 unit. If you lose, move to the following number on the Fibonacci sequence and bet 1 unit again. The third bet is 2 units, and it continues until you win.

Once you win, you have to move two steps back on the Fibonacci sequence.

The Fibonacci technique is easy to understand and helps recover past losses, but you risk big losses. 

D’Alembert technique involves slowly increasing and decreasing your bet sizes. The technique is based on the idea that wins and losses eventually balance out. 

You start by betting 1 unit. After a loss, you increase the bet by 1 unit, and after a win, you decrease your bet by 1 unit.

The D’Alembert technique is simple and helps limit significant losses, but it is a slow method for recovering them.

The main idea of The Oscar Grind technique is to slowly grow profits by increasing bet sizes after a win and keeping small bet sizes during a losing streak.

You start by betting 1 unit, and if you lose, you still bet 1 unit, but if you win, increase the bet by 1 unit. 

The Oscar Grind technique minimizes the risk of losing too much of one’s bankroll and optimizes slow profit growth.

However, the process of seeing large returns is slow, so you need to be patient when using the Oscar Grind technique.

Below are a few tips to help you make better money management in sports betting decisions.

Stick to a Budget

Set a clear budget before your betting session to avoid overspending. Don’t bet the money you can’t afford to lose, and keep your betting funds separate from daily funds.

Look for the Best Betting Deals

Always, search for deals that can profit you. Look for accumulator bonuses to increase winning or insurance offers to get free bets if you lose.

Minimize Losses

Focus on minimizing losses instead of winning. If you constantly lose money on football but win on basketball, focus on the events that deliver a profit. The more of your bankroll is left, the more chance of success you have left.

Track Your Wins and Losses

Keeping track of your bets helps to understand past results and make better decisions in the future. Past data of your wins and losses can help you devise a better betting strategy and adjust your approach to betting for the better.

Remember It’s Real Money

Sometimes, it’s easy to forget you’re not betting monopoly money online, especially when betting is as easy as two clicks at bookmakers’ sites. Remember that the money you’re betting on is real. Imagine you’re handing physical money before each bet.

Don’t Chase Losses

Increasing bets after a losing streak leads to even more losses. Stick to the betting money management strategy or technique and avoid impulsive betting.

Don’t Bet Under Pressure or Influence

Don’t bet in a rush, with stress, or under the influence. Emotions, stress, or substances damage your judgment, which leads to poor decisions and even more losses.

Don’t Over-bet Because You’re Confident 

Don’t bet more because you’re confident of the results. Stick to the bankroll management betting plan to avoid overspending, as sometimes the results can surprise you for the worse. 

Emotional control is one of the most important skills a bettor can have when making his own betting money management. It’s easy to get caught up in the heat of the moment when betting, but emotional decisions often lead to poor betting outcomes. 

Keeping your emotions in check is key to long-term success, whether you just won or lost.

Stay Calm Under Pressure

One of the most common emotional traps in betting is snap betting. Snap betting is making rash decisions in intense moments. When emotions run high, whether due to frustration after a loss or excitement after a win, bettors get tempted to place bets that don’t align with their strategies. 

Avoid snap betting by stepping back, taking a moment to breathe, and re-evaluating your betting approaches. Making impulsive bets without analyzing the situation can quickly drain your bankroll.

Evaluate Losses Calmly

Losses are inevitable in betting, and emotional reactions can cloud your judgment. After a losing streak, it’s easy to feel discouraged or anxious to recover your losses. 

However, understanding that loss is a natural part of sports betting helps to keep your emotions in check. Rather than chasing losses with bigger bets, focus on maintaining your strategy and sticking to your betting plan. Remember, a loss is just a part of the process, don’t let it dictate your next move.

Maintain Objectivity After Win or Loss

Staying objective is necessary whether you’ve just hit a big win or suffered a loss. After a win, many bettors feel overconfident and start making larger, riskier bets. On the other hand, a loss can lead to chasing losses or making impulsive decisions, too. 

To maintain objectivity, always stick to your pre-set betting limits and strategy. If you want to change your bets or bet more than usual, pause and remind yourself of your long-term goals.

Emotions can impact your betting decision and lead to inconsistent results. Here are a few more tips to avoid such issues:

• Always stick to your plan, regardless of the emotions you experience.
• Set realistic expectations and understand that losing is a part of the betting experience.
• Take a break to reset before continuing to bet after a win or a loss.
• Use a betting journal to track your bets, progress, and emotions.
• Strictly manage your bankroll.

Moreover, emotional control and effective money management in betting will have physiological benefits for you. The benefits include reduced stress and improved decision-making.

Setting up your bankroll for betting is simple if you have patience and discipline. 

Here’s a step-by-step guide on how to set up your bankroll responsibly:

1. Choose the starting bankroll
2. Divide your bankroll into units
3. Set limits for wins and loses
4. Track your bets
5. Always stick to the plan you choose

There are bet types you need to avoid to manage your bankroll responsibly. 

Accumulator Bets

Parlays allow bettors to place large bets and win big across multiple teams but offer some of the worst value odds. 

The betting houses add a commission to every bet, about 3-6%. Thus, by playing parlays, you’re multiplying the commission with each bet.

Betting is fun and exciting, but it must always be done responsibly, using betting money management skills to avoid financial or emotional stress. 

• Set a clear budget before you start, and never bet more than you can afford to lose. 
• Keep your betting funds separate from your daily expenses, and avoid chasing losses after a losing streak. 
• Avoid gambling when you’re stressed, emotional, or under the influence of alcohol or drugs.

Betting is meant to be fun, so always approach it with discipline and control to ensure a positive and enjoyable experience.