What is disclosed is a novel system and method for determining the number of objects in an IR image obtained using an IR imaging system. In one embodiment, a total of N intensity values are collected for each pixel in an IR image using a IR imaging system comprising an IR detection device and an IR Illuminator. Intensity values are retrieved from a database which have been estimated for a plurality of known materials, such as skin and hair. A classification is determined for each pixel in the IR image using either a best fitting method of a reflectance, or a correlation method. Upon classification, a total number of objects in the IR image can be determined. The present system and method finds its intended uses in of real world applications such as, determining the number of occupants in a vehicle traveling in a HOV/HOT lane.