Can paper trading help? Yes and no.
It all depends on how you use it. Are you using it to have a feel of the market? (good for beginners) Are you using it to test out some trading strategies? Do you trade like it is your real money? (limit the amount of loss per session) Do you grill yourself to trade as often so that you can catch up to the speed of the market? (good for day traders to act on the moment)
Most important part is the emotion involved when you switch to trading with real money - can you stay as calm?