Category: General LinuxCNC Questions
The Linuxcnc docs have some good information on setting up hand wheel encdoers (I think it deals with using the encoder module for the parallel port, but you can just ignore that bit and just copy the bits where the signals are sent), but you'll probably want to allow a couple of inputs to define the step size as well.
Not a bad read here:
www.anderswallin.net/2006/11/jogging-emc2/#more-107