KidOverSight

The ultimate software that will assist you in watching what your children are doing on the computer. It performs the following functions: capture the screen and keyboard strokes at regular intervals that you decide. You can quickly activate the viewing application with 'Hot Key Settings'. KidOverSight can be set to automatically start when Windows starts. You set the image quality, and the amount of data you want to keep.

Limitations:

15-day trial, limited functionality