What is Data Entry?

Businesses need to process an enormous amount of information. Data entry keyers input this data efficiently and accurately into a computer. Things like customer information, medical records, membership lists, mailing lists, surveys, sweepstakes and drawings, coupons, rebates, warranties and newsletters are common examples of data source (the original document you input data from).

What is a Database?

A database is simply a collection of related information or data. Examples of a paper database might be a telephone directory, a personal address book, a church or school directory, a recipe box, or a checkbook register.

Within a basic database are columns and rows. Each column contains a single kind of data, like a last name or a zip code. A column of data is called a field. Each row contains one piece of data from each field relating to a single person or item. Each row of data is called a record.

Typing Speed and Your Earnings

Whether you are in pursuit of your own data entry home business or an online opportunity, your earnings will almost certainly be in direct proportion to your typing speed. The faster you type, the more you can accomplish.

Most data entry projects are paid by what is called a "piece rate"; that is, per piece or record keyed. Let's look at an example.

We have a basic name and address data entry project. There are 2,000 total names and addresses (or records). We have quoted our customer a rate of .10 cents per piece (10 cents per record). Keyer #1 can enter 350 of these types of records per hour. We need to determine approximately how much Keyer #1 will earn per hour, just for the data entry portion of this project, and how long it will take her to complete it.

350 records multiplied by .10 cents = $35 per hour
2000 total records for this project divided by 300 records per hour = 5.7 hours

Keyer #2 is a little slower. She can only key 200 records per hour for this project.

200 records multiplied by .10 cents = $20 per hour
2000 total records divided by 200 records per hour = 10 hours

It is very clear that for the identical project, Keyer #1 will earn quite a bit more on an hourly basis and provide a much faster turn-around than Keyer #2 ... simply because of typing speed.

This is why it is well worth your time, and even a small financial investment in typing software if necessary, to increase your speed while maintaining absolute accuracy. I recommend that 60 wpm with 100% accuracy be a minimum to make data entry worth your while.

The good news is that this particular skill is easily acquired. Practice, practice, practice! Get out a phone directory, a book, anything with a bunch of words and numbers, and practice straight typing a half-hour a day. If you commit yourself, you should nearly double your speed within two weeks.

There are five main steps to increasing typing speed:

• Memorizing where the various keys are located on the keyboard
   

• Using the proper finger positions and getting accustomed to which finger should press which key most efficiently
   

• Learning keyboard shortcuts for every software application you use and in simple straight-text typing. We have become too mouse-dependent - which in most cases slows us down
   

• Learning the 10-key pad as well as the numbers above the letters across the top of the keyboard. The 10-key pad will dramatically increase your speed when entering a sequence of numbers as small as three characters! For data entry, always use a full-size keyboard with a 10-key pad - not a condensed laptop keyboard without one.
   

• The final step in increasing your typing speed is confidence. Many slower typists simply have a habit of watching their fingers or looking at the keyboard when they type. They don't trust themselves to type accurately.
  Type a page of text without taking your eyes off of it. Don't allow yourself to look at your fingers or the keyboard. Type slow if you need to, in order to type accurately. Do this again and again and again to build your confidence. You will soon be able to "feel" when you've pressed a wrong key or made an error. Soon after that, you will be able to correct that error (by backspacing, etc.) with hardly a glance at the keyboard. Trust yourself!

Your FIRST goal in polishing your typing skills is to achieve complete accuracy. Your speed is useless without it. Build your speed while typing accurately.

Check out my online typing test as well as a prepared document and instructions for taking a typing test offline using Microsoft Word.

Speed is the key to your data entry earnings. Get that keyboard smokin'!

Next Steps

If you are considering a data entry business at home, but you're not sure what it would take or if you have the skills, I highly recommend my free 5 day email course. Learn more about it here.

If you want to learn how to start your data entry business from home, consider my eBook. It's a step by step, one of a kind training manual for starting a computer-related typing-related home business (not just data entry) but with very specific teaching, custom forms you can use in your own business, worksheets to print and complete in the startup process, and much more. Learn about the eBook manual here.

Find out about scams, fraud, and other misleading data entry opportunities to be weary of AND how to find legitimate freelance data entry jobs. Also explore real options for transcription, typing, and virtual assistance.

Are you interested in other work at home opportunities besides data entry? Check out my list of Type at Home suggestions. But don't limit yourself. Look into making money online too, like affiliate marketing, your own website, eBooks, eBay and more.

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