Mix 1 part perlite and 1 part peat moss thoroughly. This is a good basic seedling starting mix for cacti.
Fill the plastic pot to about half an inch below the rim with your newly mixed seedling soil. Small 2-inch pots work well for only a few plants. If you have a lot of seeds use a nursery tray. The pots should have good drainage holes and be wider that they are deep. San Pedro cactus roots spread a little more laterally rather than down like other plants.
Sprinkle the San Pedro cactus seeds lightly and evenly on the surface of the potting mix.
Cover the seeds with a very thin layer of sand about equal to the diameter of the seeds.
Set the entire pot in the bucket or large bowl and fill the bowl with water to about half way up the seedling pot. This allows the seedling soil to absorb the water slowly from the bottom without disturbing the seeds on the surface. Avoid splashing the surface of the soil or watering it directly.
Remove the seedling pot from the water when the soil has absorbed enough for the surface to be moist. Let the excess water drain out of the bottom of the pot.
Fit a plastic bag over the top of the seedling pot forming a mini-greenhouse to hold in the moisture. If you are using a nursery tray, use the prefabricated clear domes for seedlings.
Place the pot in a warm bright location that is away from direct sunlight. The seeds will sprout in about one to two weeks. As the new San Pedro cacti start to sprout, poke a few holes in the bag every day or so until the bag has so many holes it is no longer effective at holding moisture in. Then the bag can be removed entirely. This helps slowly acclimate the young seedlings to atmospheric air over a week or two and prevents drying and sudden death. Seedlings are ready to transplant into individual pots when they are about half an inch in diameter.