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Step 1: Fill The Reel Full Of Line
The very first adjusment you can make to your reel can be done as you are spooling it up with line. And that is to make sure that you completely fill the spool with as much king. Let me explain the importance of filling it full. The main reason is that you will get longer casts. If your line is full, your spool doesn't have to turn as many revolutions to get the distance.

Another reason for having it full is because it is the only way you can be somewhat consistent. Let's say you only fill your reel to say 80% line capacity and then using the other adjustments discussed below, you get your reel fine-tuned for optimum performance with that amount of line. And then let's say you later get hung up while fishing and have to cut your line - now you are at 60%. Your settings are now too tight, so you have to re-adjust your reel to get your maximum distance at 60% line capacity. Later when you get back home you re-fill your reel full of line and don't remember to tighten your settings. What can you then expect? You guessed it! You can expect a big backlash with your brand new line.

How do you prevent inconsistencies? Well, you can't totally prevent inconsistencies, because line changes after it gets wet and after it has been used. But you can be fairly consistent by filling your reel full of line every time and not letting it get too low. A rule of thumb is to change your line when it gets below 90% or when the line visibly begins to look worn.

Step 2..To properly adjust your baitcasting reel, tie the lure you are going to use to your line. Stand up straight and hold your fishing rod with the baitcasting reel in your left hand and facing up with the rod tip at about the 2 o'clock position. Turn the reel handle until the lure is approximately 4 inches from the rod tip.

On the "handle side" of the reel, you will notice a round knob resembling a thimble. This is the clutch adjustment knob (In this photo, the clutch knob is the round gold colored knob between the reel handle and the body of the reel). I suggest you start by taking your thumb and forefinger and turning this knob "clockwise" about two turns. Then take your left thumb and place it one the reel spool applying slight pressure on the line.

Now, use your other thumb to depress the casting button, or "thumb bar". When you do this, you will be releasing the spool and putting it in "free spool" mode. You now remove your thumb from the line spool. The lure should remain in the exact same spot, 4" below the rod tip.

Now, using your thumb and forefinger, turn the clutch knob "counterclockwise" very slowly until the lure starts to drop from it's own weight. The lure should not drop suddenly, just slowly (you may have to make this adjustment a few times to get the best adjustment setting).

If the adjustment is too tight, you will not get much casting distance. If that occurs, simply turn the adjustment a little bit more counterclockwise to loosen the clutch.

If the adjustment is too loose, you will have plenty of casting distance but you may encounter the backlash problems.

Step 3...The drag...On the axle that holds the reel handle, you should see something that resembles a 5-pointed star. This "star wheel" is the drag adjustment (In this photo, the black colored star wheel is mounted just behind the gold colored reel handle between the handle and the body). To tighten the drag, making it more difficult to pull line out, you turn the drag adjustment clockwise. To reduce the drag, making it easier to pull line out, turn the drag adjustment counterclockwise.

To check the setting, wear a glove to protect your hand from line cuts. Make certain the reel is not in "free spool" mode by turning the reel handle a time or two. Wrap the line around your gloved hand and attempt a slow pull away from the reel. If the drag is properly set, the line will slowly pull from the spool. If the drag is too tight, you will feel the line "tug" the reel.

If the drag is too tight, turn the star wheel counterclockwise. If the drag is too lose, turn the star wheel clockwise. That is basically all there is to drag adjustment. Remember, though, most fish are lost due to the drag being too tight which will cause increased tension on the line and could cause the line to break. It is better to have the drag just a little on the loose side. A strong fish may run some line off your reel, but in the process he will tire himself out as he pulls against the drag system. Once he's worn out from fighting the drag, start reeling him back in.

Step 4 the breaks...Braking power (other than your thumb) consists of either of two types: centrifugal or magnetic brakes. The centrifugal brakes will either be on the spool under the front or rear side plate depending upon make and model and you may need to slide out the spool to access them. Round baitcasters like the ABU 5500/6500 provide access by three knurled nuts on the sideplate under the handle, while the Shimano Calcutta (and clones) has two. These should be kept finger tight so that you can easily change brake settings on the go without need of any tools to loosen the nuts. Low profile baitcasters like the Shimano Curado/Calais family of reels provide access to the brakes via a detachable sideplate.

Centrifugal braking systems consist of two to six plastic brake blocks on pins running outwards from the center on the side of the spool (In the photo above, the sideplate has been removed and you can see the six brake pins configured around the center of the reel). If you gently depress the block down the pin and towards the center, you may hear a faint click as they are locked on the pin in the "off" position and are no longer in play. Push them up and they lock into the "on" position. Push them too hard and they'll pop off the end of the pin but they go back just as easily.

Magnetic brakes are very simple and are adjusted by a dial on the outside of the rear sideplate. But whatever the system, the same rules apply. Heavier lures require less braking, while lighter lures require more braking. How many brakes you choose to engage depends on your casting ability and the weight of your lure. Brakes act to slow down the spool as the line spins off the reel during your cast. The more brakes you have engaged, the more controlled your cast should be but at the expense of your potential casting distance. The fewer brakes you have engaged, the freer the line will spin off the reel which could mean potentially longer casts, but you run the risk of the line overrunning the spool causing a backlash.

When you are first starting out, I suggest you start with all brakes engaged in the "on" position. When you become proficient at making consistent backlash-free casts, then you might want to try turning off some or all of the brakes and controlling the spool with your thumb "feathering" the spool as you cast.

One more tip regarding brakes. When you engage (or disengage) a brake pin, make sure that you also engage (or disengage) the brake pin directly opposite of it across the spool. In other words, pins directly opposite each other should always be set to the same position. This will ensure that even braking pressure is applied to the spool as it spins.