A system for determining a channel margin of a data transmission channel (DTC) using error correction under real-world channel conditions is described. The system includes a monitoring unit, an operating state determining unit and a data processing unit. The monitoring unit monitors data transmission along the DTC and estimates a statistical distribution of errors (H) in the transmission of data. The operating state determining unit determines a current value of an operating state parameter for the DTC. The data processing unit determines a reference channel margin associated with said current value of the operating state parameter for a reference channel and the error correction scheme employed, provides a statistical distribution of errors (HR) associated with said reference channel for said current value of said operating state parameter, compute a deviation of H and HR, and computes a reduction of the reference channel margin.