This post is a follow-up to my post on an old thread: forum/viewtopic.php?t=121&highlight=
where I talked about how I paid myself.

Well, I've got about another week to go before my 3 months of journalling is up but with school starting this Saturday and being busy with final preparations before opening day I don't expect that I'll have the time to get another session in by the 24th and so I'm acting as if the quarter is done. Now this isn't quite the time period that I count as my quarter but I'm going to use this as my example because you've been here with me for 3 months and we all know what figures I'll be referring to - besides, the number is really close.

Let's assume that my starting bankroll for the quarter was $50,000. It isn't btw - but I'm not telling so you'll have to accept this figure for an example So in figuring out my bonus for the quarter I take my total earnings for the quarter which was $30,140 and subtract $13,000 which is $1000/wk that I've paid myself in the 13 weeks that constitute a quarter. This leaves me with a balance of $16,860. I split the balance in half and cut myself a bonus check of $8,430 and add the other $8,430 to my bankroll. This brings my total bankroll to $58,430 and my total earnings for the quarter to $21,430.

Extrapolating out for a year - assuming that the quarter was representative (it was actually a tad low) - if I started the year with a bankroll of $50,000 then annual growth rate for the bankroll would be 67.44% increasing the bankroll by years end to $83,720. My annual salary would come to $85,720.

In this way both, bankroll continue's to increase at a respectable level and my earnings allow me a comfortable standard of living.

TUP

If I ever would go pro, or do something similiar I would adopt your model. Seems like a great way to handle your income both for short and long term. You seem to have found a good way to minimize as much as possible the risk of what you do.

Your bankroll management also seem to compliment your skills as a NL player, meaning that as far as calculating risk go you have it down pretty good.

As to your results, I guess those are what every aspiring pro dreams of. Although I would think that the percentage of players actually pulling this off long term is extremely low. Which your previous comment on dropouts in the game seem to support.

Good luck on your next quarter, and I hope between teaching and playing you still have time to drop by and share some knowledge with us on BTP.

Disclaimer: I'm a rookie in this game, so I might be talking out of my ass. But I hope I have expressed myself generally enough to avoid this.

Just curious TUP - have you read Rolf Slotboom's article on CardPlayer dealing with a bankroll system he worked with? Here's the link:



Essentially he had modified another bankroll system (Doug Young’s High Stakes Poker: The Sky’s the Limit) and here's the gist of it:

1. Take 10% of a winning day and put it aside into your account (non-poker emergency fund)

2. Take 5% of every winning month and put it aside into your account

3. Take 2.5% of every winning year and put it aside into your account.

However, this doesn't really address taking money out for life expenses other than for the emergency fund. I'm not sure if it would be enough, and in the case example you are working with, it seems it would leave far more in the bankroll. Of course, since it was labeled as a "bankroll building system" - I suppose I shouldn't be that surprised.

Just curious

/d

TUP,

I am not living off my poker earnings but I do more or less the same thing. Only difference is I do not pay myself weekly there for the total won is the bonus. I divide the total net. Half goes into my personal checking account and half goes into my Poker checking account (bankroll). The only difference is I do this monthly.

I was wondering if you plan on getting in bigger games or what you plan on doing with the extra money in your bankroll if anything? If you plan on staying in your current game or something similar, you don't need much more (probably much less since you win so much). Otherwise, some of that money would seem best doing something else, like investing or is that what you do with the portion of the bankroll you don't use?

Soul,

I saw no ass-talking And btp is my home - I'd be homeless if I failed to hang out.

Starstealer,

Yes, I've seen Rolf's system before. I'll say that I have the utmost respect for Rolf - his writings are amongst the best in the business in my opinion - I think I've ever disagreed with him once and that was a minor point. Anyway, I read that article with interest when it came out - but there were a few things I wasn't clear on plus I have a system that works well so I've simply stuck to it. Just out of curiousity though - let's plug in his numbers for my quarter and extrapolate: Again let's start with a fictional bankroll total of $50,000. 10% of my daily totals for the quarter is $3122. 5% of the each month (this was a question I had about this system - 5% of each months total or 5% of each months total that is left after the 10% is taken out? I'm operating as if it's 5% of total) equals a total of $1507. 2.5% of an extrapolated years earning (based on this being a typical quarter) would give me $754 for the quarter's share. This comes to a grand total for the quarter of $5383. Rolf suggested that this be put in a seperate - 2nd bankroll - a passive bankroll if you will in order to help build a bankroll. My particular system put $8430 into my bankroll although there is just one bankroll instead of the two his system uses. Too, his system was for building a bankroll when one is starting out - having been at this a bit - my bankrol's safety is simply not a subject I'm concerned about any longer.

Kowboy,

I think it's a fine system although I'd miss my weekly payday.

Briachek,

In 2003 I played mostly the $10/$20 blind NL games in LA and averaged $93.70/hr for the year. In 2004 I played strictly low-limit no-limit and averaged $108.20/hr for the year. There's something to be said for not having to play against Dan Harrington, Amir Vahedi, Phil Laak and the like... So to answer your question - no, I'm going to stick where I am for now. There are a number of reasons. First $15/hr more is $15/hr. Second, although I don't often play more - I can if I wish - when I played the bigger game, I played 24-28 hours a week max before I was brain dead; in the little game I can push myself to twice as many hours if I so desire. Third, I'm a big fan of small fluctuations. It keeps me more centered. $93.70/hr at the end of the year is nice but psychologically fading a $12,000 loss followed by a $7300 loss is tough to do (which happened to me once in 2003). As for what I'm doing with the bankroll - well a significant portion does in fact just sit there - perhaps more than needs to although if I find a $10/$25 blind PLO game (which I expect to during the WSOP) - then you can count on me jumping into it. Too, there are opportunities that come up once in a while which I want to remain prepared for -for instance a fellow not too long ago came in and wanted to play a $20,000 NL freeze-out with someone. He wanted to "...play "limit" holdem - you know, where you can go all-in at any time." He was just a guy with too much money and wanted to play. I do however skim off the bankroll at this point in my career. After the WSOP last year I went and bought myself a motorhome - I think I pointed it out to you when you were here actually - I just don't recall if you actually saw it or if we passed it too fast. Also, I'm currently looking at condo's and that too will come out of bankroll.

Anyway,

Peace all...
TUP

Yeah i saw it in passing. So just because the money goes in your bankroll, it doesn't necessary stay there if you want to buy something. Makes sense if you got plenty of bankroll. What does it do while it wait? Just in a normal bank account?

Briachek,

Well I don't know if I'd say it doesn't stay there if I feel like buying something... The motorhome was a great deal - this is Vegas after all - find someone with something you want... follow them around... wait for them to go broke on the slots or in the pits and then make an offer.. Not really - but there are alot of desperation sales here for that reason. The price I paid for it is easily recuperated plus if I chose to sell. As for the condo - again, that is an investment which would outperform a bank account or probably any other investment. Even if the market remained flat over the next couple of years I earn what I don't spend in rent so paying $850/m in rent now - buy a $100,000 condo - at the end of a year even if property values failed to increase I earn 10% on my money just on not paying rent (yes I know there is fee's and the such but anyway...). And no - I occasionally use the word check in a phrase - like "cutting myself a check" or something but I use it as a figure of speech. I don't use banks but am very fond of casino safes.

TUP