Welcome to Lesson 5!
Now that you know how to place a bet, it's time to learn one of the most important parts of sports betting — bankroll management.
⚠️ Why This Matters
Most beginners skip this step — and that's why they lose all their money. If you want to bet long-term and give yourself the best shot to win, bankroll management is key.
1 What Is a Bankroll?
Your bankroll is simply the total amount of money you set aside for betting — and only betting.
NOT Rent Money
NOT Grocery Money
Money You Can Risk
Example
If you have $500 in your bankroll, that's all you will use for bets — and you'll manage that money carefully over time.
2 What Is a Unit and Why It Matters?
A unit is the amount you bet on each game — usually a small percentage of your total bankroll.
Standard Unit Size
Most smart bettors use 1% to 3% of their bankroll as a unit. This keeps your betting consistent and controlled.
Example: If Your Bankroll is $500
- 1% unit = $5 per bet
- 2% unit = $10 per bet
- 3% unit = $15 per bet (more aggressive)
✅ Why Use Units?
- Protects you from losing everything on one bet
- Helps you stay in the game long-term
- Keeps your bets consistent and controlled
- Makes it easier to track your performance
3 How Much Should You Bet?
| Bankroll | 1% Unit | 2% Unit | 0.5% Unit (Safer) |
|---|---|---|---|
| $200 | $2 | $4 | $1 |
| $500 | $5 | $10 | $2.50 |
| $1,000 | $10 | $20 | $5 |
| $5,000 | $50 | $100 | $25 |
Pro Tip:
As a beginner, stick to 1% units. Even if you feel super confident, resist the urge to bet more!4 Setting Limits & Avoiding "Chasing Losses"
🚫 The #1 Mistake: Chasing Losses
What it means: Increasing bet sizes to "win back" what you lost.
Example: You lose $50, so you bet $100 on the next game trying to make it back.
Why it's bad: This is the fastest way to go broke. Stick to your units no matter what!
Golden Rule
"If you lose 5 bets in a row, still bet the same amount on bet #6."
5 Adjusting Your Bankroll Over Time
📈 If Bankroll Grows
Example: $500 grows to $1,000
Your 1% unit goes from $5 to $10
📉 If Bankroll Shrinks
Example: $500 drops to $250
1% unit drops from $5 to $2.50
Pro Tip:
Adjust units when your bankroll grows or shrinks by 25% or more.6 Simple Bankroll Management Strategy
📊 Your 5-Step Plan
- Set your total bankroll — Example: $500
- Decide unit size (start with 1%) — Example: $5 per bet
- Stick to that unit for every bet, no matter how confident you are
- Never chase losses — accept bad days happen
- Adjust units if bankroll grows or shrinks by 25%+
7 Real-Life Example
Putting It All Together
You deposit $300 into FanDuel.
- Your bankroll = $300
- Your unit = 1% of $300 = $3
You bet $3 per game, whether you feel "super confident" or unsure.
- If you win and grow to $400 → adjust unit to $4
- If you drop to $200 → lower unit to $2 to protect your funds
8 Why Bankroll Management is Non-Negotiable
Keeps You in the Game
Long-term survival over quick wins
Removes Emotion
Focus on strategy, not feelings
Tracks Performance
Know if you're actually winning
What Pros Do
The #1 thing beginners ignore
End of Lesson Checklist
- I know what a bankroll is and how to set one
- I understand what a unit is and how to size my bets
- I know not to chase losses or increase bet sizes emotionally
- I know how to adjust unit size if my bankroll changes
🎯 Next Lesson Preview
In Lesson 6, we'll do a Final Recap of everything you've learned in Stage 1, then you'll take the Stage 1 Quiz to unlock Stage 2!