When should you agree to chop the blinds in a live game if it is folded around? Everyone at the casino agreed that you should always chop even if you have AA, because only playing heads up the 10% rake will eat up too much of the value.

There was a hand where I was in the SB with KQos in a 3-6 game and it was folded around. I figured I had an above average hand so I raised. BB called and the flop came Q-6-3. I bet the flop and got called again. Turn was an A, another bet and call. River was a blank, I checked, he bet and I called. He had A-J and I lost $21. Where did I go wrong here? Should I have chopped?