Hold on — before you jump into your next buy-in, here’s the practical takeaway: different tournament formats change how often you cash and how big those cashes tend to be. That affects the bankroll you need, how you should size bets, and whether short-term results reflect your skill or just variance. Read the next two paragraphs and you’ll be able to choose the right format for your current bankroll and risk tolerance.
Quickly: if you want steadier, more predictable short-term returns — play small-field Sit & Gos or Double-or-Nothing SNGs. If you want the chance of a life-changing payday but accept long droughts — play large-field Multi-Table Tournaments (MTTs) and satellites. I’ll show examples, give a simple math check you can do in five minutes, and finish with checklists that let you act right away.
OBSERVE: Volatility — what players feel versus what it is
Here’s the thing. Players often confuse “variance” and “skill.” My gut says you’ll play better if you understand the shape of returns: tournaments are typically long-tailed — a few big scores, lots of small or zero returns. That long tail is volatility in action. On the one hand, a high-volatility format can wipe out dozens of buy-ins before one deep run fixes your balance. On the other hand, low-volatility formats produce frequent cashes but smaller top-end paydays.
EXPAND: The mechanics — how formats change variance
At a base level, volatility in tournaments depends on three variables:
- Field size (more players → higher variance).
- Payout structure (top-heavy → higher variance).
- Structure speed (turbo/short-stacked → more luck, more variance).
Example: a 9-player Sit & Go (SNG) with flatish payouts (3 places paid) will give smaller swings than a 2,000-player MTT where only 10% cash and the top 1% win most of the prize pool. That difference rewrites how many buy-ins you should bring.
ECHO: Simple math you can use (five-minute bankroll check)
At first I thought bankroll rules were arbitrary, then I started logging and running simple simulations. Here’s a minimal method to estimate sensible buy-ins:
- Estimate your ROI per event (as a decimal). If you’re a recreational player, use 0–5%; small positive numbers are realistic for many.
- Estimate standard deviation of returns per event (σ). If unknown, use conservative proxies: SNG σ ≈ 1 × buy-in; MTT σ ≈ 2–5 × buy-in depending on field size and payout structure.
- Choose desired risk of ruin (RoR). For beginners, aim for RoR ≤ 5% over N events.
Rough rule: required bankroll ≈ (z × σ) / ROI, where z corresponds to your confidence (for low RoR pick z ≈ 2.33 for 1% one-sided). This is heuristic, not exact. If ROI is close to zero, bankroll needs explode — that’s the practical warning: small edges require large bankrolls to survive variance.
Types of tournaments — how they rank by volatility
Below is a practical comparison you can use when deciding what to play tonight. The “Bankroll Multiplier” column suggests how many buy-ins to have for reasonable risk tolerance (conservative guidance for recreational players).
| Format | Typical Field Size | Volatility | Skill Impact | Suggested Bankroll (× buy-in) |
|---|---|---|---|---|
| Single-table SNG (9-max) | 9 | Low–Medium | High (heads-up/endgame skill matters) | 50–100 |
| Double-or-Nothing / 50/50 | 6–9 | Low | Moderate | 30–50 |
| Multi-table Tournament (MTT) | 200–5,000+ | High | Moderate–High (survival + late-stage skill) | 200–1000+ |
| Turbo / Hyper-Turbo | Varies | Very High | Low (short stacks → luck matters) | 300–1500 |
| Rebuy / Add-on | Varies | Variable (can be lower short-term) | Strategy differs (aggression early to build stack) | 100–500 |
| Satellite | Small→Large | Medium–High | High (ICM decisions) | 100–500 |
Mini-case: Two approaches, two outcomes
Case 1 — Conservative recreational player: plays 9-max SNGs at $10. With an estimated ROI of 3% and σ ≈ $10, required bankroll ≈ (2 × 10) / 0.03 ≈ $667. You’d keep about 70–100 buy-ins to be comfortable.
Case 2 — Risk-seeker targeting MTTs: plays $55 MTTs with estimated ROI 10% (skilled) but σ ≈ $275 (5× buy-in). Required bankroll ≈ (2 × 275) / 0.10 ≈ $5,500 — roughly 100 buy-ins. The kicker: variance can mean long droughts even with positive ROI.
Practical adjustments — reducing effective volatility
On the one hand you can try to “beat” variance through selection and skill; on the other hand you can change formats to reduce variance:
- Prefer smaller fields and flatter payouts for steadier cashflow.
- Avoid hyper-turbos if you rely heavily on post-flop skill.
- Use bankroll segregation: have a tournament bankroll separate from cash-game money.
- Mix in freerolls or low buy-in satellites to preserve capital while chasing big scores.
Where to practice varied formats (context & guidance)
If you want to experiment with a range of formats — SNGs, rebuys, small MTT fields — while keeping stakes small, consider testing across sites that offer low-stakes variants and regular small-field MTTs. For example, players often use low-stakes rooms to simulate structure differences and track how their winrate and variance behave; sites that host frequent SNGs and MTTs let you compress learning into a few weeks of volume. One such place that lists varied low-stakes tournaments and promotional freerolls is thisisvegass.com official, which can be useful when you’re trying multiple formats without committing a big bankroll.
Quick Checklist — before you register / enter a tournament
- Confirm buy-in and total prize pool; check payout structure (flat vs top-heavy).
- Decide bankroll allocation: segregate a tournament bankroll and set buy-in limits.
- Match format to your edge: if you’re new to ICM and heads-up, avoid big-field MTTs.
- Track results by format (SNG vs MTT vs Turbo) for at least 300 entries before trusting ROI estimates.
- Ensure KYC documents are ready with the site you choose; long-term play requires verified withdrawal access.
Common Mistakes and How to Avoid Them
- Playing above your bankroll: common and fatal. Solution — set a strict buy-in cap and stick to it; auto-rebalance when you hit a loss threshold.
- Confusing short-term luck with skill: track 500+ events for each format, or use moving averages to assess real skill.
- Not adjusting to payout structures: two tournaments with same buy-in but different payouts require different strategies (ICM matters). Study or use software to practice late-stage ICM.
- Overplaying turbo structures: they’re tempting for quick action but punish post-flop skill. If you’re primarily a post-flop technician, avoid hyper-turbos.
- Ignoring withdrawal and KYC rules: some offshore sites have slow payouts or heavy verification. Read terms and keep documents ready.
Mini-FAQ
Q: How many buy-ins should I have for MTTs?
A: For recreational players, aim for at least 200–300 buy-ins for large-field MTTs. If you’re more skilled and can tolerate swings, you might reduce that, but expect long losing stretches.
Q: Do satellites reduce variance?
A: Satellites can lower variance in one sense — you convert cash into a seat which often has great ROI if you can exploit ICM — but they introduce different variance because you might bust many satellites before winning a seat.
Q: Is “ROI per entry” a reliable metric?
A: ROI is useful but noisy for tournaments. Use it alongside standard deviation and sample size. A high ROI with tiny sample is meaningless; a small positive ROI over 2,000 entries is actionable.
Q: How do I practice ICM decisions?
A: Use solvers or ICM calculators in practice mode, review hand histories of late-stage spots, and play smaller-field SNGs where ICM consequences are frequent and easier to study.
18+ only. Gamble responsibly. In Australia, consider contacting Gambling Help Online (https://www.gamblinghelponline.org.au) if play becomes a problem. Always verify site licensing, KYC/AML procedures, and withdrawal terms before depositing — slow payouts and restrictive withdrawal policies are a major practical risk in some offshore rooms.
Final Echo — make volatility your strategic partner
To be honest, variance will always be a stubborn companion in tournament poker. But you can make it manageable. Pick formats that align with your edge and emotional tolerance, size your bankroll to survive the expected swings, and treat short-term downswings as data rather than fate. Over time, disciplined tracking and format selection will turn volatility from an enemy into a measurable variable you can optimise around.
Sources
- https://www.pokerstars.com/poker/guides/
- https://www.wsop.com/players-guide/
- https://wizardofodds.com/
About the Author
Alex Reid, iGaming expert. Alex has played and coached recreational and semi-professional players across SNG and MTT formats since 2010, specialising in bankroll management and format selection for Australian players.