Here's a practical example. You understand how rake works, but this is going to be new to someone, so I'll be very basic. I decided to play poker after watching the WSOP and WPT. They don't talk about rake on television.
I'm giving more information than you asked for, again, because this is the beginners forum, and someone may find it useful.
At the site on which I play (America's Cardroom), the least expensive tournament is $5 +.50. $5 is the tournament entry fee, 50 cents is the rake, which is the fee that someone pays to Americas Cardroom for using their site.
Sometimes you will cash and win more than $5. Other times, you won't cash, and you will lose the $5.50 that you paid to enter the tournament. But to break even, you have to average making not $5, but $5.50, per tournament.
The 10% rake that you often see at low-level tournaments means that a lot of players are going to lose money. As you play higher, for example, tournaments over $10, the percentage of rake will get lower, and depending on the site, you might see a tournament listed as $10 + .80, which is an 8% rake.
That makes it sound like it should be easy to move up and make money. And yes, the rake generally gets lower as you move up, but the players also get better.
A $1 to $5 player might be playing a tournament "just for fun", and he might go all-in with A
5
just because he has a suited ace. 2+2ers in the micros make their money off players like this.
At $10 to $20 the rake will be lower, but there won't be nearly as many clueless players. Being good enough to beat the rake won't get it done any more. You might have 3 players at the table who are as good as you are, and you have to be good enough to identify those players and adjust, or win chips from the bad players, or both.
Basically, to have any success at poker, even to break even, you have to make some decisions, many of them financial,
before you play:
Do I want to make money, or is this just entertainment, like seeing a movie?
Am I willing to play at the very lowest levels, such as $1 tournaments (or cash games with 1 and 2 cent blinds) if I don't have much money to put on the site?
Am I beating my current level by enough that I can probably beat the rake when I move up?
Am I willing to devote regular time to study, so that I will be prepared when I move up and face better players? If you study 5 hours a week and the guy on your immediate left studies 20 hours a week, that game or tournament might not go too well.