In addition to the other good info here, you might want to consider using the Double Metaphone phonetic algorithm which is generally considered to be better than SOUNDEX.
Tim Pfeiffer details an implementation in SQL in his article Double Metaphone Sounds Great Convert the C++ Double Metaphone algorithm to T-SQL (originally in SQL Mag & then in SQL Server Pro).
That will assist in matching names with slight misspellings, e.g., Carl vs. Karl.
Update: The actual downloadable code seems to be gone, but here's an implementation found on a github repo that appears to have cloned the original code