An optical encoder system is disclosed comprising a movable target arranged to provide a varying reflectance dependent on a position of the target within the system. An emitter is positioned on a first side of the target to illuminate the target and a sensor is positioned on the first side of the target to sense a reflectance from the target, wherein the sensed reflectance is dependent on the position of the target within the system. Also disclosed are a target and a sensor module for use in such a system, a device comprising such a system and a method of determining the position of a moving target using such a system.