Rakeback Calculation Methods Explained
Besides the percentage, another factor that determines rakeback is the calculation method. Understanding how your rake and rakeback are calculated is a fundamental step in deciding which rakeback programs will be most profitable for you.
The Contributed Method
By far the most widespread method for calculating is the so-called “contributed” method. With this method, your rake is calculated in a very straightforward way based on hands in which you contributed to the pot. If you make a bet or call someone else’s, you add money to the pot and therefore receive rakeback with this method. How much rakeback you are awarded depends on the number of players who were active in the hand. If five people contributed to a $ 5 pot, the rake for each player is determined simply by dividing the total pot value by the number of players, so $ 1 per person. How much each person contributed is not taken into account. Some of the most popular poker rooms using the contributed method are Action Poker, Betfair, NoIQ Poker, Carbon Poker and PKR Poker.
The Weighted Contributed Method
A variation on the traditional contributed method is the “weighted” contributed method. This method adds a third factor into the equation: how much each player contributes to the final pot value of each hand. More rakeback is attributed to players who bet more. So, for example, if you contribute $ 2 to a pot with a total value of $ 5 and a rake of $ 0.25 is charged, your rakeback for that hand will be calculated as follows: $ 0.25 (rake) x $ 2 (your contribution) ÷ $ 5 (total pot value) = $ 0.1. Another player who, for example, contributed $ 1 to the pot and then folded will also be attributed rake for the hand, though only $ 0.05 ($ 0.25 x $ 1 ÷ $ 5). Many regard this method as being the fairest way to calculate rakeback. The weighted contributed method is used at Pay No Rake.
The Dealt Method
Rather than charging rake and awarding rakeback to players who contribute to the pot, poker rooms that employ the “dealt” method do so according to whether or not players received cards. The formula used to award rakeback to each player involves simply dividing the total pot value by the number of players who were dealt cards. Rakeback is calculated according to the dealt method at Americas Cardroom (former Doyles Room) and Cake Poker.
Choosing the Right Room
Which rakeback calculation method will be most advantageous for you depends on your playing style and how much rakeback you are hoping to generate. Tight players who don’t make a lot of bets will generate less rakeback with a contributed or weighted contributed formula than looser players while all players at a given table pay the same rake fees using the dealt method, regardless of how often or how much they bet. Of course, generating rakeback goes hand in hand with paying rake fees. This means if your goal is to generate as much rakeback as possible (for example, if you’re participating in a rake race) then you would be better off going for a poker room with a contributed calculation method as a loose player or one using the dealt formula as a tight player. In contrast, if you would like to minimize your rake fees, then the opposite is true. In any case, players should analyze their own poker strategy and consult our detailed rakeback reviews before deciding where to play online. In the end, you’re the one who’s putting your money at stake – it pays to be informed!