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Liar's poker is a bar game that combines statistical reasoning with bluffing, and is played with the eight-digit serial number on a dollar bill. Normally the game is played with a stack of random bills obtained from the cash register.

The object is to make the highest bid of a number that does not exceed the combined total held by all the players. This bid can only be reached by using a single named digit (the "Number"). One turn consists of a player naming a digit from 1-10 (0's count as 10's) and a total value, and play proceeds sequentially in turns, with each subsequent player either naming a total greater than the previous player (but not necessarily naming a higher Number), or calling the previous player ("Calling"). When a player is Called, all players reveal the numbers on their bills, and the Called player must add up his Number to reach or exceed this total. If he does, he wins a dollar from the person Calling him, and that Calling person is removed from the game. If he does not reach such total, the person who was Called pays a dollar to the person Calling him, and the person who was Called is removed from the game.

Example: If the first player bids three 6's, he is predicting there are at least three 6's among all the players, including himself, or if he does not believe that there are at least three 6's, that he will not be Called. The next player must either bid a higher value, such as four 5's, or Call. The end of the game is reached when a player makes a bid that is challenged all around. If the bid is successful, he wins a dollar from each of the other players, but if the bid is unsuccessful, he loses a dollar to each of the other players.

A similar game is played with playing cards. To begin, each player is dealt five cards. Each player in turn bids the highest poker hand which he believes exists among all the players' cards. This continues until a bid is is challenged by another player. At this point all players must show their cards. If the bid was correct, the challenger is dealt one less card in the following round. If not, the player who was challenged loses a card. Play continues until all players but one are eliminated.

In this game, the poker hands of straight and flush are ignored - i.e., they may not be played as bids.

Liar's dice is a similar game played with dice, often as a drinking game.

• In the January 22nd edition (week-long) of Poker After Dark, Phil Hellmuth claims to have taught Daniel Negreanu how to play Liar's Poker.
• Michael Lewis' book Liar's Poker details how Salomon Brothers traders would play liar's poker.
• A game of liar's poker was played in an episode of the TV series Hustle (Season 3, Episode 3) where one of the main characters plays and loses against two merchant bankers, the result of which is that he has to bend over and get the same number of strokes from the cane as the level the bidding reached (it got to nine 6's).
• Councilmen Tommy Carcetti and Tony Gray play a game of liar's poker interrupted by a visit from a Baltimore Sun reporter in an episode of the HBO TV series The Wire (Season 3, Episode 3, "Dead Soldiers")
• Liar's poker was played in an episode of the TV series WKRP in Cincinnati (Season 2, Episode 15 "Herb's Dad") where Herb Tarlek Sr. bested Venus Flytrap and Dr. Johnny Fever with the long-shot bid of nine 6's. Herb Tarlek Jr. later beat Venus and Johnny with the same bid. It was then revealed that he used the same dollar as his father.
• Characters on the show Quincy M.E. were often seen playing Liar's poker.

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