5 Things You Should Know About Data Entry Online

5 Things You Should Know about Data Entry Online

Data entry online

Data entry online looks like an easy way to get started working at home. And to some degree this is true. There are fewer barriers in terms of skills and education needed for those seeking work in this area. Companies aren’t as interested in your resume as whether you can perform the online tasks needed and whether you will be reliable. They don’t spend a lot of time scrutinizing applicants work histories to determine if they will be a good match for the job. Rather they incentivize the work, so that if you are not fast enough and reliable enough then you will simply not make much money.

And so data entry online is a bit of a risky proposition for the worker. You could spend much time on it but never really earn much. So before you get started, take the time to read these 5 things you should know about data entry online.

First Fact – Look out for Scams!


Scammers Will try to Take Your Time and/or Money

Data Entry Scams

Sad but true. Because data entry work attracts many people desperate to earn some cash, it also attracts those looking to take advantage of that desperation. Add to that the anonymity of the Internet and you have a recipe for a scam.

Arm yourself before you ever start looking for data entry work online with the information you need. Know:


Next Fact – See how and what you’ll be paid. 


You Will Never Earn a Living at Working in Data Entry Online

Earning Money with Data Entry Online

At least you won’t if you live in the U.S., Canada or Europe. The cost of living is too high in these areas for the rates that online data entry pays to allow anyone to really make a living at this.Though in other areas of the world it might be possible, competition for these jobs is fiercer.

In the United States and similar countries, data entry online is best for supplementing income. The convenience of working from home in data entry can make up for the low pay, but data entry work should be approached as a way to make extra money not a solution to one's financial problems.


Next Fact – Don’t expect “employment.”


There Are No Data Entry "Jobs"

Data Entry Jobs

A better word than jobs would be "gigs" because all online data entry workers are freelancers or independent contractors. While there are companies that actually employ people to do data entry work, those companies are almost always brick-and-mortar outfits, not online data entry firms. And frankly, as it becomes easier and easier to parse out data entry tasks across a virtual network of freelancers, the number of brick-and-mortar data entry jobs will decrease.

Some important things to know about working as a freelancer (or independent contractor) are that:

  • You are not covered by minimum wage laws
  • Often you are not paid an hourly wage but a per-piece rate for an entire project
  • You are responsible to pay your income, Medicare and Social Security taxes
  • If you make more than $600 a year at a company in the United States you should receive a 1099 tax form (pictured)


Next Fact – See what kind of data entry work there is.


What Exactly Is Data Entry?

Data Entry

OK, if data entry isn't really a job in the employment sense, what is it? Well, data entry can be a number of things but typically the definition of data entry encompasses a number of occupations, including electronic data processors, typists, word processors, transcribers, coders and clerks.

Most common online, though, are the types of data entry that use crowdsourcing technologies, allowing companies to parse out data entry into small tasks spread out across a much larger workforce. In these jobs, which are often called microlabor, small tasks are put up for bid or out in an open call using the Internet) to a disparate group of people, who then each do one piece of the data entry.

Other more specialized forms of data entry include:

Next Fact– Find out where the jobs are.

Where to Find Data Entry Work Online

Global Data Entry Jobs

So now that you've read the 5 things you should know about data entry online and you're still ready to give it a try here are some resources for where to find online data entry work.