Questions To Ask When You Are Playing In A Charity Poker Tournament

I assume those who are reading this blog are interested in playing in charity tournaments both to support a charity, and to win some money.

With the recent lift of the cap on top prizes, some charities are changing how they operate their tournaments, so that the charity continues to net the same amount of money for each tournament. Here's what to be aware of:

1. How much of the entry fee is going to the prize pool? There is no state regulation of this percentage. Some charities contribute less than 50% of entry fees to the prize pool, while I have played in other tournaments were the amount of the entry fee contributed to the prize pool was 75-80%.

2. What does the charity do with "add on" charges? If the charity has an optional add on during the tournament, you should inquire as to whether this amount is also added to the prize pool. It is likely not added to the prize pool, but instead used to increase the charity's revenue for the event. And that's not necessarily a bad thing, but something you should be aware of.

Removal Of Limits On Top Prizes Benefits Charities

A news story from the Grand Rapids Press indicates that the removal of caps on top prizes in charity poker tournaments increases the revenues to the non-profits running the tournaments

Changes In Charity Poker Tournaments

The State of Michigan has recently amended its regulations for charity poker tournaments.

Previously, the maximum prize to any one participant was $500. Now, however, maximum prizes are unlimited.

However, the prizes are essentially capped because the maximum amount that may be collected by a charity under the Millionaire Party License (which covers Hold 'Em) is $15,000. Out of that $15,000, prizes must also be paid to participants, presumably, so that limit essentially caps the top prize.