Frequently Asked Questions
A: The charity would complete a form provided by the state and submit it to them for review. The charity would have to provide proof they are a qualifying charity. They would also have to pay a daily fee to the state (amount determined by the state - in Michigan it's $50 per day).
Q: My son has cancer and I can't afford the treatment. Would I be able to sponsor a charity poker event?
A: That will depend the type of restrictions the state would have in place. Some states require you to be a 501(c)(3) organization to be eligible to sponsor a charity poker event. Personally, I feel it's good to have some guidelines like that in place but I would like to see an option where someone could provide details on why they should be allowed to have a charity poker event too.
A: Let's face it. Charities are finding it hard to meet their financial goals and have seen older forms of revenue such as bingo and raffles not bring in as much money as they once did. Poker is a great social game that is popular with people regardless of their age. Bingo players are normally the older crowd and raffles are only as good as the prize that is being offered. With poker, a person can spend a nominal amount of money, socialize and meet new friends, and help the charity playing a fun game of cards.
A: In Michigan, a charity is only allowed to collect $15,000 a day which includes entries into tournaments and cash games. Once that amount is reached, they can no longer take in cash in exchange for poker chips. Personally, I think Nebraska should go one step further and put a limit on how much a person may spend during a poker event (maybe $500). On average, charity poker tournaments will cost $25 to $50 so it would be very unlikely that a person will lose several hundred dollars in one charity poker event.
A: Well Nebraska has spoken on different aspects of gambling. Yes they've voted down casinos and slot machines, which I'm not trying to legalize, but they've also said it's okay to have bingo, pickle cards, horsetrack racing, keno and the lottery. Yes poker is played in the casinos but it's not the typical casino game. Poker isn't played against the casino and requires skill to do well at it. It's not purely a game of chance like other forms of gambling already legal in Nebraska. Charity poker will benefit charities directly and with poker, limits could be imposed so a person does not lose more than a certain amount of money, which the other options do not do.
A: There are a lot of variables in calculating what that could be and if the state puts in any requirements as to how much a charity must make as a percentage (e.g., Michigan requires the charity to keep 50% of the gross profit). For simplicity, lets say there are 100 people in a tournament and they all paid $50 to get into it. The total money received is $5,000 with a payout percentage of 70% which leaves $1500 in gross profit. The charity takes home $750 and the other $750 is kept by the management company who covers the rent and dealer expenses. In addition, if there is a cash game, the average gross profit per hour per table is $80 - $120. As you can see, a charity can easily make several thousand dollars in one charity poker event.
A: All competitive games have an element of chance. The question is whether or not the game is primarily a game of chance or is it primarily a game of skill. To start with, if a person's actions in how they react to another player's actions affects how they play the game, that requires skill. In poker, you are dealt a starting hand which affects your decision on your next move. Unlike other casino games, in poker you can decide whether or not you even want to play in that hand. If you do decide to play, you will factor in your position, chip count, how other players have bet and their playing style, what you think the other players have, what you think the other players will think you have based off your bet and actions and much more. Before you commit any chips to the pot, all those items are often considered first. Compare that to the lottery, keno, bingo or pickle cards where the choices you make in no way increase your chances of winning. You will find professional poker players who make a living playing poker because they use their skills to help them consistently win at poker. You won't find a professional keno or bingo player since that is purely luck if you win those games.
One other item of interest to help support the theory that shows poker is predominantly a game of skill is to look at results of several tournaments. In the 2009 World Series of Poker, there were over 46,000 entries playing a variety of poker tournaments. If poker was primarily a game of chance, it would seem highly unlikely that anyone would win or place high in more than one event. In reality though, there was one player (Jeffrey Lisandro) who won three events, two players won two events and ten players that finished in the top three more than once. As in any game, these players probably needed some luck to help them along the way but it was their skill that factored most heavily in how they did.
A: A study was conducted last year in which 103 million cash game hands were analyzed on Pokerstars (by Cigital). In the end, 76% of the hands did not go to showdown, which means the players in the hand did NOT have to show who had the best hand. Instead, the process of betting and bluffing won pots prior to the cards being turned over. Poker is similar to other card games in which you’re playing against other players (Bridge for example) but how you play your cards and your betting is a far more important factor than what cards you are dealt.
As for court rulings, many states have not officially decided on the skill vs chance argument. Earlier in 2009 though, a judge in Pennsylvania and in South Carolina both ruled that poker is predominantly a game of skill.