Human psychology gets in the way of smart sports betting from a variety of directions. While it’s becoming more widely understood that it affects betting choices, don’t forget it also strongly influences how you manage your money.

VSiN has talked a lot in the past about how casual bettors tend to focus too much on favorites because it’s more fun to root for the superior team to dominate than it is to ask the inferior team to hang tough for a full game. And there is the overconfidence too many bettors bring to the table because they assume being an avid fan of a sport makes them an expert in understanding complex markets.

This past weekend’s high-profile sports betting tournament held in New Jersey exposed many observers to the hidden power of betting aggressively when ahead. Most bettors aren’t comfortable with that approach, aiming instead for a low ceiling that will make them content. Many observers were amazed at how quickly high ceilings were made possible with aggressive betting.

Just simply playing straight bets (no parlays, futures or exotics with high payoffs) in non-concurrent games, any tournament competitor could turn the initial $5,000 stake into $40,000 in just three consecutive winners. (Risk $5K on the first pick … if that wins they would then have $10K. Risk $10K on the second bet … if that wins they rise to $20K. Let it all ride a third time, and a 3-0 record has them at $40K).

You’re capable of picking three winners in a row. Would your comfort level allow you to grow a bankroll that quickly?

VSiN doesn’t want you to get delusions of grandeur about your profit potential. But we do want to point out that many bettors get into serious trouble because they go the opposite direction. They bet bigger when they’re losing because they’re trying to chase their way back to even. “Double up to catch up” as the saying goes.

Try to put yourself in positions that have a safe, low floor and an enjoyably high ceiling. Don’t approach a bottomless pit of despair just to get back to even or win a little.

Now, real-world betting doesn’t come with a multi-million dollar bonus pool for the tip of the iceberg. This past weekend’s tournament format didn’t just encourage aggressiveness. It demanded it. But, isn’t turning $5K into $40K impressive enough? Even on smaller budgets, that would be turning $500 into $4K in three bets. Or, $50 into $400. Can you do something like that within your own budget parameters?

As you approach a new betting weekend, try to determine your own “low floor,” the amount you’d accept losing if things didn’t go your way. Does the schedule allow you turn that over a couple of times into a nice profit with your strongest picks?

The psychology of risk versus reward gets the best of too many gamblers. Looks for ways to limit the former, and grow the latter.