Setting Gambling Loss Limits

No gambler walks into a casino with thoughts of blowing their bankroll within the first hour of being there.  But whether you think about it or not, losing your bankroll is always a distinct possibility.  This is especially true if you don’t set a loss limit!

So what exactly is a loss limit?  It’s a predetermined amount of cash that you can afford to lose before calling it quits.  For instance, if you had $400 and set a loss limit of $200, you would quit gambling as soon as your bankroll dropped down to $200.  This is just a basic example of how you can set a loss limit, so let’s take a look at some other methods.

Straight Loss Limit

A straight loss limit is the simplest way to set up a gambling limit.  The aforementioned $400 starting bankroll/$200 limit is a good example of how to set up a straight loss limit.  You can get as detailed or as simplistic as you want when setting this up, but there are a few factors that everybody should take into account when determining a straight loss limit.

You should look at the size of your overall bankroll, how often you plan on gambling, and the percentage you can afford to lose in any given session.  So if you’re a casual gambler with a $500 bankroll, you can probably afford to lose 50% of this cash in a really bad session because you don’t gamble that often.  On the other hand, a serious gambler with a $5,000 bankroll wouldn’t want to put 50% of their roll on the line in one session so setting a 20% loss limit would be more appropriate.

Secondary Loss Limit

Bettors who do two or more gambling session in a day often set up a secondary loss limit.  A secondary loss limit is just like it sounds in that it’s a second limit occurring after the primary limit.  So if you were the aforementioned $5,000 bankroll gambler with a 20% loss limit, you leave the casino and come back with a new loss limit for the now $4,000 bankroll.

Just like with the primary loss limit, it’s important to think about your bankroll when determining a secondary loss limit.  With the $4,000 bankroll, you can keep the secondary loss limit at 20% because you’ll still have plenty of cash left even if you do suffer two brutal sessions in a row.  On the other hand, you wouldn’t want to set a secondary loss limit of 50% with a $500 bankroll that was reduced to $250 because this is all that’s left.

Readjusted Loss Limit

Another loss limit that occurs after initial gambling action is the readjusted loss limit.  Readjusted loss limits are for those who have been blessed by Lady Luck on a certain night and are winning lots of money.

To illustrate this point, let’s say you set an initial loss limit of 20% with your $1,000 bankroll, but now you are up to $1,500 after winning several bets in a row.  What you can now do is either pocket the winnings and go home, or keep playing with a new loss limit.  You could set a 33% loss limit based on the current bankroll where you’ll quit playing after dropping back down to $1,000.

Time-based Loss Limit

Some people do better with hours and minutes than they do with percentages and numbers.  For these gamblers, a better loss limit to use is the time-based limit.  The time-based loss limit is pretty self-explanatory since you just need to pick an amount of time you’ll play in the casino, and leave after the time limit is reached.  This always works so much better if you actually have somewhere to be when the time limit draws near.

An example of a time-based loss limit would be if you walked into a casino at 1:00 pm and had to be out of the casino by 2:00 pm.  Of course, this doesn’t have to be a loss limit because of the obvious fact that you could win money too.  So, using ‘time’ also works as win limit for people.

Sticking to your guns

There is always the temptation to battle back when you’ve experienced some heavy losses in a session.  However, battling back from losses is usually when tilt starts setting in.  And when you’re on tilt, you start making sessions that can drain your entire bankroll!

If you’ve had trouble sticking to loss limits in the past, you may need to resort to drastic measures such as only bringing your loss limit amount into the casino.  So if your loss limit comes out to $250, don’t bring anymore than this to the casino.

This may not sound like the most exciting thing in the world, but sticking to loss limits is crucial to being a good gambler, and one of the cornerstones of solid bankroll management.  And if you can stay true to loss limits, you are automatically better than 90% of the other gamblers out there….provided you aren’t horrible in the strategy department of course.