Disclosed is a compact, multi-user magnetic tracking system. In an embodiment, a compactness is achieved by using a single coil and inertial sensors at the transmitter and magnetometers and inertial sensors at the receiver for sensing the magnetic field generated by the single coil and for determining a position and attitude of the receiver relative to the transmitter. The transmitter and receiver each include a wireless transceiver for exchanging clock synchronization data and sending transmitter attitude data to the receiver. In another embodiment, frequency or time division multiplexing is used to differentiate between multiple users of the multi-user magnetic tracking system.