A laser actuated keyboard system (10) includes a laser pointer (12) mounted on an adjustable headband (14) for directing a collimated beam (16) onto a laser keyboard (18) defined by an array of photosensors (58) that are intended to be illuminated by the user-targeted beam (16). During a laser acquisition mode, the laser pointer (12) output is controlled to provide a relatively retina-safe output and during the captured signal mode, the laser pointer (12) output is controlled to provide a higher-power mode sufficient to be easily seen. During the higher-power mode, the laser pointer (12) is modulated at a selected frequency to assist the laser keyboard (18) in discriminating against common background light. A successful keypress is declared when the beam (16) illuminates a targeted area for a selected percentage of a pre-determined dwell period.