The weighted contributed rake method is fast becoming the industry standard methodology. The overwhelming majority of the world's top 10 poker rooms use this method of rake calculation, including Pokerstars, Bovada and the Merge Gaming Network.
Types of Rakeback methods
Of the three rakeback options, dealt, contributed, and weighted contributed, most online poker players feel the weighted contributed is the most accurate in assessing exactly how much a player contributes to the rake. The weighted rakeback method also does not reward tight play, so sites utilizing a weighted rakeback system tend to have fewer low-limit grinders, and therefore a looser game.
So what is “Weighted Contributed Rakeback” and how is it calculated?
The weighted contributed rakeback method awards players for playing in more hands and contributing to more of the pot percentage wise. So, players will receive a percentage of rakeback that is in proportion to the amount they contributed throughout the hand. This system encourages and rewards action players. Online poker players who are playing with a weighted rakeback deal will only be eligible for rakeback in hands in which they contribute to the pot in some way. This includes anything from posting a blind to going all-in as a contribution. The more a player contributes, the more rakeback they will be eligible for. Thus a player posting a blind will receive far less than a player betting and raising until the river.
Here is how weighted contributed rakeback is calculated:
(Total amount of money contributed / Total amount of money in the pot) * Total rake contributed (known as MGR) This number (your MGR) is then multiplied by the percentage of the rakeback deal you are playing under.
How about an example of weighted contributed rakeback in action:
Suppose you are playing in a 6-handed, $5/$10 Limit Holdem game, and 2 players limp into the pot, the small blind folds, and you, the big blind, check. Of the 6 players in the game, only four are eligible for rakeback. Now suppose you and one of the limpers make your way to showdown having each put in $100 total worth of bets. All other players players folding the flop (having contributed only 5 dollars eachr. With a total rake of $3, and playing with a 35% rakeback deal, your weighted rakeback calculation would look like this: ($100 / $207) * $3 rake = $1.45 in MGR * .35 = $0.507 in rakeback earnings.
Who will benefit from a weighted contributed rakeback deal?
As you can see tight players who enter very few pots and who aren’t willing to toss their chips around, will not benefit much from a weighted rakeback deal. On the other hand, a loose/aggressive player who is pushing a lot of small edges, and getting a lot of their chips in the middle will reap the rewards from a weighted contributed rakeback deal. Loose, fishy players are also more heavily rewarded, thus keeping them in the games longer, so that they may lose their funds to you!