A career in human resources (HR) can be fulfilling and demands specialized skills. Due to the complexity of HR roles, many professionals seek certification to boost their careers and qualifications. The PHR and SHRM certifications are among the most popular choices for HR practitioners.
The PHR (Professional in Human Resources) certification is awarded by the HR Certification Institute, while the SHRM-CP (Certified Professional) certification is provided by the Society for Human Resource Management.
While both certifications aim to enhance HR professionals’ credentials, they differ significantly in focus, requirements, and overall approach to HR management. Let’s take a closer look at the specifics of each certification now!
Main Differences Between SHRM and PHR
The SHRM and PHR have unique characteristics that cater to different professional needs. The main differences are based on several key factors:
- Ease of the test
- Cost
- Qualification requirements
- Salary expectations
- Exam Format
PHR and SHRM Exam Format
Each certification has a distinct exam format designed to assess the knowledge and skills necessary for HR professionals.
PHR Exam Format
The PHR exam is administered by the HR Certification Institute (HRCI) and is structured to evaluate foundational HR knowledge and compliance-related skills.
The PHR exam consists of 115 multiple-choice questions, which include 25 unscored pretest questions. The unscored questions are included to evaluate their effectiveness for future exams but do not affect the candidate’s score.
Candidates have two hours to complete the exam. This time allocation requires effective time management, allowing approximately 1 minute and 39 seconds per question.
Question Types: All questions on the PHR exam are multiple-choice. The questions cover various HR topics, divided into seven functional areas:
- Business Management (20%)
- Talent Planning and Acquisition (16%)
- Learning and Development (10%)
- Total Rewards (15%)
- Employee and Labor Relations (39%)
The content outline ensures that candidates are tested on a broad spectrum of HR practices, policies, and compliance issues relevant to operational roles.
Scoring Method: The PHR exam uses a modified Angoff method for scoring. Each question is assigned a value based on its difficulty level, which means that not all questions carry the same weight. Candidates must achieve a scaled score of at least 500 to pass, with scores ranging from 100 to 700.
Exam Structure: The exam is delivered via computer at designated testing centers or can be taken remotely. Candidates receive their scores shortly after completing the exam.
SHRM Exam Format
The Society for Human Resource Management (SHRM) offers two primary certifications: the SHRM Certified Professional (SHRM-CP) and the SHRM Senior Certified Professional (SHRM-SCP). Both exams assess the knowledge and skills of HR professionals but differ in focus and content.
The SHRM-CP exam consists of 134 multiple-choice questions, including 24 unscored items, with a duration of 3 hours and 40 minutes. It covers HR-specific knowledge across 14 functional areas and foundational competencies. Candidates must achieve a passing score of 200 on a scale from 120 to 200.
Similarly, the SHRM-SCP also features 134 questions and the same duration but emphasizes strategic HR management, leadership, and organizational effectiveness.
While both exams share structural similarities, the SHRM-CP is geared toward early- to mid-career professionals, whereas the SHRM-SCP targets senior-level HR practitioners involved in strategic decision-making.
Check Out: What’s On the SHRM Exam?
Which Test is Easier SHRM or PHR?
The difficulty level of each exam can vary based on individual preparation styles:
PHR Difficulty
Many candidates find the PHR exam to be more straightforward due to its focus on technical HR knowledge. However, it still requires a thorough understanding of policies, laws, and compliance issues that govern HR practices.
SHRM Difficulty
The SHRM is often perceived as more challenging due to its combination of knowledge-based and situational judgment questions. Candidates must not only know the material but also be able to apply it effectively in various scenarios. This dual focus on theory and practice can make preparation more complex.
Find Out: SHRM-CP Pass Rate
Given the difficulty of the SHRM exam, we have observed that candidates require significant study time to succeed. Research indicates that most examinees spend between 41 to 120 hours preparing for the SHRM exam, with those investing around 81 to 120 hours reporting the highest pass rates.
To prepare effectively, candidates are encouraged to utilize a variety of SHRM study materials, including SHRM-CP test Prep course, SHRM-SCP test prep course practice tests, and study groups. Engaging with these resources allows candidates to gain a comprehensive understanding of HR concepts while also honing their decision-making skills in practical contexts.
Moreover, many candidates find it beneficial to simulate test conditions during their practice sessions. This approach helps them manage time effectively and reduces anxiety on exam day.
Try out; SHRM-CP Free Questions
Difference Between PHR and SHRM Certification Cost
These two certifications have their own cost structure, which can significantly influence a candidate’s decision on which certification to pursue.
PHR Certification Costs
The total cost for the PHR certification includes:
- Exam Fee: $395
- Application Fee: $100
- Total Cost: $495
Recertification
Candidates must earn 60 recertification credits, which may involve additional costs for continuing education courses or workshops.
SHRM Certification Costs:
The SHRM offers two main certifications: SHRM-CP (Certified Professional) and SHRM-SCP (Senior Certified Professional). The costs for these certifications vary based on membership status and registration timing:
SHRM-CP:
- Early-Bird Exam Fee: $335 for members; $435 for non-members
- Standard Exam Fee: $410 for members; $510 for non-members
SHRM-SCP:
- The fees are similar to those for SHRM-CP, generally falling within the same range.
Total Cost Range: Depending on membership status and timing, candidates can expect to pay between $300 to $510 for SHRM certifications.
Candidates who are members of SHRM benefit from lower exam fees compared to non-members. For instance, members pay approximately $100 less than non-members for both the SHRM-CP and SHRM-SCP exams.
Additionally, student members receive even lower rates, with fees as low as $149 for the exam.
Check Out: How Much Is SHRM Membership
SHRM Recertification
For SHRM certifications, candidates must also earn 60 professional development credits (PDCs) through approved activities, which can similarly incur costs.
SHRM VS PHR Cost-Effectiveness Considerations
When evaluating the cost-effectiveness of each certification, consider the following:
- The PHR certification is straightforward in its fee structure, with a total cost of $495, making it easy to budget for.
- The SHRM certifications offer a range of pricing options based on membership status and early registration discounts, which can make them more accessible depending on individual circumstances.
- Both certifications provide significant value in terms of career advancement potential, but candidates should weigh the upfront costs against long-term benefits such as salary increases and job opportunities.
SHRM Vs PHR Qualification requirements
PHR and SHRM certifications each have different requirements that candidates need to fulfill before being approved to take a certification exam.
PHR Qualification Requirements
To qualify for the PHR certification exam, candidates must meet one of the following criteria: they can have at least one year of professional HR experience along with a master’s degree or higher.
Alternatively, candidates may qualify with a bachelor’s degree and a minimum of two years of professional HR experience.
Lastly, candidates can also qualify by having at least four years of HR experience combined with an associate’s degree, high school diploma, or GED equivalent.
SHRM Qualification Requirements
For SHRM certification, candidates might encounter two sets of requirements, one for the SHRM-CP certification and another for the SHRM-SCP certification.
SHRM-CP
For the SHRM-CP, which is designed for individuals performing HR or HR-related duties at an operational level, candidates must meet specific experience and education requirements. Those with no degree must have at least four years of HR-related work experience.
Candidates with a bachelor’s degree need at least three years of HR-related work experience, while those with a graduate degree must have at least one year of relevant experience.
The SHRM-CP certification is suitable for those who implement policies, support day-to-day HR functions, or serve as an HR point of contact within their organization.
Although a formal HR title or degree is not required, having a basic working knowledge of human resources is recommended to help candidates succeed in the exam.
SHRM-SCP
On the other hand, the SHRM-SCP targets senior-level HR professionals who are involved in strategic decision-making. Candidates seeking this certification must have significant experience and leadership capabilities.
Those without a degree must have at least seven years of HR-related work experience, with at least three years in a strategic role. Candidates with a bachelor’s degree need five years of relevant experience, including three years in a strategic role, while those with a graduate degree must have at least three years of HR-related work experience along with three years in a strategic capacity.
The SHRM-SCP certification focuses on professionals who develop policies and strategies that align with organizational goals and objectives.
Check Out: How Long Does it Take to Get SHRM Certified
Difference Between PHR and SHRM Salary
PHR Salary
As of August 2024, individuals with a PHR certification earn an average annual salary of around $81,000.
This figure can vary widely, with salaries ranging from about $56,550 to $118,962, depending on factors such as experience, location, and industry.
Specific companies also offer varying salaries for PHR-certified professionals.
- Edenwald: $115,000
- ADP: $97,843
- Renewal By Anderson: $91,495
- Amazon: $87,295
- USI Insurance: $83,988
- Compass Group: $68,465
- NASDAQ: $73,137
- Paychex: $70,000.
Salaries for SHRM Certification
SHRM-CP Average Salary:
While specific average salary figures for SHRM-CP holders are less frequently reported than for PHR holders, they generally earn slightly less than those with PHR certifications. Estimates suggest that SHRM-CP holders earn around $75,000 to $80,000, depending on experience and location.
Find Out More: SHRM Certified Professional Salary
SHRM-SCP Average Salary:
For senior-level SHRM certifications (SHRM-SCP), salaries can be higher, often exceeding $90,000, particularly in larger organizations or metropolitan areas.
What to Consider when Choosing between SHRM and PHR
Choosing between the PHR (Professional in Human Resources) and SHRM (Society for Human Resource Management) certifications can significantly impact your career in human resources. Here are some tips to help you decide between pursuing a PHR or SHRM certification:
Assess Your Expertise Level
Determine your level of experience and choose the certification that aligns best with your background in human resources.
For instance, since the SHRM-CP and SHRM-SCP certifications target leaders and managers in HR, someone in a lower-level HR role may opt for the PHR certification to gain a broader understanding of HR practices.
Evaluate the Content
Select the certification that emphasizes educational content most beneficial to you. The PHR exam addresses topics such as business and management strategy, workforce planning and employment, employee and labor relations, and human resource development.
In contrast, the SHRM-CP exam focuses on areas like leadership and ethical practice, relationship management, and business acumen.
Check Out: What Is the Difference Between SHRM-CP and SCP?
FAQS
What is the Pass Rate for PHR vs SHRM?
The pass rate for the PHR (Professional in Human Resources) is approximately 65%, while the SHRM-CP (SHRM Certified Professional) has a higher pass rate of about 67%.
This difference highlights the varying levels of difficulty and preparation required for each certification, with the PHR often considered more challenging due to its rigorous standards and prerequisites.
Which HR Certification is Best?
The best HR certification depends on your career goals and experience. The SHRM-CP is ideal for those seeking a comprehensive understanding of HR practices, while the PHR is suited for professionals focused on technical HR skills and compliance.
For advanced practitioners, the SHRM-SCP or SPHR may be more appropriate. Consider your current role, future aspirations, and the specific skills you wish to develop when choosing the right certification.
What Is the Difference Between PHR and SPHR?
The PHR (Professional in Human Resources) is an entry-level certification focusing on operational HR tasks, requiring less experience, while the SPHR (Senior Professional in Human Resources) is designed for senior-level HR professionals, emphasizing strategic management and requiring more extensive experience.
The PHR covers tactical aspects like employee relations, whereas the SPHR addresses broader organizational strategies and leadership roles in HR management.