A paper position sensor for a ticket printer is disclosed. The ticket printer includes a blank ticket tray and a paper guide consisting of an upper and lower guide, which lower guide contains a position sensor wheel that rotates as a result of the frictional contact with the blank ticket, as the ticket passes over the sensor wheel on its way through the guides. The wheel contains an embedded magnetic element such that as the wheel turns, which magnetically provides rotational position information to an adjacently-mounted sensor chip, which is able to determine, magnetically, the position of the wheel. The sensor chip provides data to the printer control as to the position of the ticket through the printer, and thus the printer control is now able to determine the precise position of the ticket in the printer.