Top 11 Payroll Technician Certifications
Updated 18 min read
Certifications are important for a payroll technician in the job market because they demonstrate the knowledge and skills necessary to effectively perform payroll functions. Certifications can help a payroll technician stand out from other candidates and make them more attractive to potential employers. They also provide evidence that the technician has a strong understanding of the most current laws, regulations, and procedures related to payroll, as well as an ability to apply that knowledge in practice. Finally, certifications can lead to higher salaries and better job opportunities.
This article reviews some of the top certifications for Payroll Technicians and explains how they can help to advance a payroll technician's career.
What are Payroll Technician Certifications?
Payroll technician certification is a credential that demonstrates a person’s knowledge and proficiency in payroll, the process of paying employees. It is designed to help payroll professionals demonstrate their expertise and stay current with changing laws, regulations, and technology.
The certification is offered by various organizations such as the American Payroll Association (APA), the International Foundation of Employee Benefit Plans (IFEBP), the Institute of Certified Professional Managers (ICPM) and other professional associations. The certification typically requires applicants to pass an examination and complete a certain number of continuing education credits.
Having this certification can help individuals stand out from other job candidates when applying for jobs in payroll or related fields. It also provides recognition for those already working in payroll, showing employers that they have up-to-date knowledge of tax laws, wage and hour regulations, benefits administration, and other topics related to payroll management. Additionally, having this certification gives individuals access to networking opportunities such as conferences and seminars where they can learn more about the field from experts.
In addition to helping individuals advance their careers, having a payroll technician certification can also benefit employers by providing them with knowledgeable staff who are up-to-date on best practices for managing employee payments and benefits. This reduces the risk of costly mistakes due to outdated information or incorrect procedures which could result in penalties or fines from government agencies.
Pro Tip: Make sure to research the requirements and qualifications for payroll technician certification in your area, as they can vary from state to state. Additionally, look into any special training or educational programs that may be offered in order to help you prepare for the certification exam.
Related: What does a Payroll Technician do?
Top 11 Payroll Technician Certifications
Here’s our list of the best certifications available to Payroll Technicians today.
1. Certified Payroll Professional (CPP)
A Certified Payroll Professional (CPP) is a designation that recognizes individuals who have demonstrated a high level of competency and expertise in payroll processing. The CPP designation is administered by the American Payroll Association (APA), which is the leading professional organization for payroll professionals.
The CPP certification requires applicants to pass an exam that covers topics such as federal and state payroll regulations, payroll accounting, wage and hour laws, and payroll taxes. To be eligible for the exam, applicants must have at least two years of experience in payroll processing or a related field.
The CPP exam takes approximately four hours to complete. It consists of 150 multiple-choice questions, with each question worth one point. A passing score on the exam is 80%.
To get the CPP certification, you must first register with the APA and pay the required fee. The fee varies depending on your membership status with the APA; non-members pay $395 while members pay $295. Once you’ve registered and paid the fee, you can take the exam at any approved testing center.
Once you’ve passed the exam, you will receive your official CPP certificate from the APA within two weeks. The certificate is valid for three years before it must be renewed through continuing education credits or retaking the exam.
2. Certified Payroll Administrator (CPA)
Certified Payroll Administrator (CPA) is a professional certification that demonstrates an individual’s knowledge and expertise in payroll administration. It is designed to help employers ensure that their payroll processes are compliant with federal, state, and local laws. The certification is administered by the American Payroll Association (APA).
To become a Certified Payroll Administrator, you must meet the following requirements: be at least 18 years old; have two years of full-time payroll experience; and pass the APA’s Certified Payroll Administrator Exam. The exam consists of 150 multiple-choice questions about payroll regulations and best practices. It takes approximately three hours to complete.
The cost of the exam varies depending on your membership status with the APA. If you are not a member, it will cost $395 for members or $495 for non-members. Once you pass the exam, you will receive your CPA certification which is valid for three years. To maintain your certification, you must complete 24 hours of continuing education credits each year.
3. Certified Government Financial Manager (CGFM)
Certified Government Financial Manager (CGFM) is a professional certification offered by the Association of Government Accountants (AGA). It is designed to recognize financial professionals who have achieved a high level of competence in the field of government financial management.
The CGFM program consists of three exams that test knowledge in the areas of governmental accounting, auditing, and financial reporting. The exams cover topics such as budgeting, cost analysis, internal control systems, and federal financial management. Candidates must pass all three exams to become certified.
It typically takes about one year to complete the CGFM program. However, this timeline can vary depending on an individual’s study habits and other commitments. To get started, candidates should review the CGFM Program Handbook and register for their exams through the AGA website.
The cost of the CGFM program varies depending on which exam(s) you take and how many times you retake them if necessary. Each exam costs $250 USD plus a $50 application fee for new applicants or a $25 fee for returning applicants. In addition, there is an annual maintenance fee of $80 USD to maintain your certification status each year.
4. Certified Payroll Manager (CPM)
Certified Payroll Manager (CPM) is a professional certification program offered by the American Payroll Association (APA). The CPM designation is designed to recognize payroll professionals who have demonstrated a high level of proficiency in payroll management and compliance. This certification program requires candidates to complete an extensive course of study and pass a comprehensive examination.
The CPM program consists of two parts: the Core Course and the Certification Exam. The Core Course provides an in-depth overview of payroll law, regulations, and processes, as well as best practices for payroll management. It also covers topics such as wage garnishments, unemployment insurance, taxes, benefits, employee records, and more. After completing the Core Course, candidates must pass a comprehensive Certification Exam that tests their knowledge of all aspects of payroll management.
The CPM program typically takes between six months and one year to complete. Candidates must first register with APA and pay the associated fees before they can begin taking classes or studying for the exam. Once registered, candidates will receive access to online courses or materials that they can use to prepare for the exam.
The cost for registering for the CPM program varies depending on whether you are an APA member or non-member. For members, registration costs $695; for non-members it costs $995. There may also be additional fees associated with taking classes or purchasing study materials if needed.
5. Certified Professional in Human Resources (CPHR)
Certified Professional in Human Resources (CPHR) is a professional designation for human resource professionals who have demonstrated their knowledge, skills and abilities in the field of human resources. It is awarded by the Human Resource Professionals Association (HRPA) and recognized across Canada.
The CPHR certification requires applicants to demonstrate their knowledge and experience in various areas of human resources, including recruitment, training and development, compensation, employee relations, labour relations, organizational development and strategic planning. Applicants must also pass an exam administered by HRPA.
It typically takes between 1-2 years to complete the CPHR certification process. To become certified, applicants must first meet the eligibility criteria which include having a minimum of five years of relevant work experience in a human resources role as well as completing certain educational requirements.
Applicants must then apply to take the CPHR exam and pay a fee which varies depending on location but is usually around $1,000 CAD. Once they have passed the exam they will receive their CPHR certification.
Overall, becoming a Certified Professional in Human Resources can be time consuming but it provides recognition that you are an expert in your field and can help you stand out from other job candidates or advance your career within human resources.
6. Professional in Human Resources – International (PHRi)
Professional in Human Resources – International (PHRi) is a certification designed to recognize the knowledge and skills of human resource professionals who have experience working in an international environment. The certification is offered by the HR Certification Institute (HRCI), a global leader in certifying human resource professionals.
The PHRi certification requires applicants to demonstrate their knowledge and expertise in key areas such as international employment law, global compensation and benefits, recruitment, selection, and staffing, organization development and change management, performance management, labor relations and collective bargaining, and strategic management.
To obtain the PHRi certification, applicants must meet certain eligibility requirements including having at least one year of professional-level work experience in an international setting or completing a minimum of 15 hours of approved international HR-related education within the past three years. Applicants must also pass an exam that covers topics such as international business operations, cross-cultural communication, multinational workforce planning and development, global talent acquisition and retention strategies, employment laws across multiple jurisdictions, expatriate management policies and procedures, legal implications of doing business abroad, global compensation strategies and more.
It typically takes between 3-6 months to complete the application process for the PHRi certification. The cost of obtaining the PHRi certification varies depending on which type of exam you take (paper-based or computer-based). The paper-based exam costs $395 USD while the computer-based exam costs $495 USD.
7. American Payroll Association’s Fundamental Payroll Certification (FPC)
The American Payroll Association’s Fundamental Payroll Certification (FPC) is a professional certification that demonstrates an individual’s knowledge and understanding of payroll fundamentals. The FPC is designed to validate the skills and abilities of payroll professionals, as well as to promote the highest standards of payroll practice in the industry.
To get the FPC, individuals must pass a comprehensive exam that covers topics such as payroll laws, regulations, calculations, processes, and best practices. The exam consists of 100 multiple-choice questions and takes approximately two hours to complete. It is offered through Prometric testing centers across the United States.
In order to be eligible for the FPC exam, applicants must have at least one year of full-time payroll experience or two years of part-time payroll experience within the past five years. They must also be members in good standing with APA or have completed an approved APA training program within six months prior to taking the exam.
The cost for taking the FPC exam is $250 for APA members and $350 for non-members. The fee includes a study guide and access to online practice exams. Once an individual has passed the exam, they will receive their official FPC certificate from APA.
The FPC certification is valid for three years after which time it must be renewed by taking a renewal exam or completing continuing education credits. Renewal fees are typically lower than initial certification fees.
8. American Payroll Association’s Certified Payroll Practitioner (CPP)
The Certified Payroll Practitioner (CPP) is a professional certification program offered by the American Payroll Association (APA). The CPP designation is recognized as the highest level of payroll certification and is designed to demonstrate an individual’s knowledge and expertise in payroll administration. It is a voluntary credential that provides recognition for those who have achieved a high level of proficiency in payroll administration.
To become certified, individuals must pass an exam administered by the APA. The exam consists of 150 multiple-choice questions covering topics such as federal, state, and local payroll laws; tax withholding; garnishments; deductions; recordkeeping; and other related topics. The exam takes approximately three hours to complete and can be taken at any Prometric testing center.
The cost to take the CPP examination is $395 for APA members or $495 for non-members. In addition, there are fees associated with becoming an APA member ($90 annually) if you choose to join the organization.
Once you successfully pass the CPP examination, you will receive your official CPP certificate from the APA. This certificate serves as proof that you have demonstrated your knowledge and expertise in payroll administration and can be used to show employers that you are qualified for positions requiring this type of expertise.
9. SHRM Certified Professional (SHRM-CP)
SHRM Certified Professional (SHRM-CP) is a professional certification program offered by the Society for Human Resource Management (SHRM). It is an internationally recognized credential that demonstrates a mastery of the core principles of human resource management. The SHRM-CP certification validates your knowledge and competency in the practice of HR, and it also shows your commitment to staying current on best practices in the field.
It typically takes three to six months to complete the SHRM-CP exam preparation process. To become certified, you must first meet the eligibility requirements, which include having at least one year of professional experience in a human resources role. After meeting these requirements, you can register for the exam and begin studying.
The SHRM-CP exam consists of 170 multiple-choice questions that cover topics such as workforce planning and employment, employee development and performance management, compensation and benefits, employee relations, health safety and security, risk management, and more. You must score at least 70 percent correct answers on the exam to pass.
The cost of taking the SHRM-CP exam varies depending on where you live. In most cases, it costs between $300-$400 USD to take the exam.
10. SHRM Senior Certified Professional (SHRM-SCP)
The SHRM Senior Certified Professional (SHRM-SCP) is a professional certification for experienced human resource professionals. It is the highest level of certification offered by the Society for Human Resource Management (SHRM). The certification recognizes individuals who have achieved mastery in the field of human resources, and demonstrates their commitment to the profession.
It typically takes between six months and one year to complete all requirements for the SHRM-SCP certification. The process includes completing an online application, passing a comprehensive exam, and submitting proof of relevant work experience.
To get certified, applicants must first meet eligibility requirements, including having at least three years of professional experience in HR management or related fields. Applicants must also have a bachelor’s degree or higher from an accredited institution.
The cost of becoming certified depends on whether you are a SHRM member or not. For non-members, the cost is $300 for the application fee and $300 for the exam fee. For members, it is $200 for the application fee and $200 for the exam fee. Additionally, there may be additional fees associated with recertification every three years.
11. Institute of Business Administration’s Accounting & Finance for Non-Financial Managers Certificate Program
The Institute of Business Administration’s Accounting & Finance for Non-Financial Managers Certificate Program is a comprehensive program designed to help non-financial managers understand financial concepts and terminology, as well as the fundamentals of accounting and finance. The program consists of five modules, each focusing on a different area of accounting and finance. It takes approximately two months to complete the entire program, but students can take up to one year if needed.
The modules cover topics such as financial statements and analysis, budgeting, forecasting, capital structure decisions, and financial planning. Each module contains lectures from experienced faculty members, case studies, interactive exercises, and assessments. Upon completion of the coursework, participants receive an official certificate from IBA acknowledging their successful completion of the program.
To get the certificate, applicants must first apply to the program by submitting their CV along with a letter of intent outlining why they are interested in taking this course. Once accepted into the program, students will be expected to attend all lectures and complete all assignments within the specified time frame. The cost for this certificate program is $2,500 USD (or equivalent in local currency).
Do You Really Need a Payroll Technician Certificate?
The answer to whether or not you need a payroll technician certificate depends on your individual circumstances. If you are looking for a career in the field of payroll, then it may be beneficial to obtain a certificate. The certificate demonstrates that you have the necessary knowledge and skills to effectively manage payroll functions.
Having a certificate can help you stand out from other applicants when seeking employment. Employers may view the certificate as evidence that you are qualified and knowledgeable about payroll processes. Additionally, having the certification could open up opportunities for advancement within your current organization or make you more attractive to potential employers.
However, it is important to understand that there is no one-size-fits-all answer when it comes to whether or not you need a payroll technician certificate. It is ultimately up to each individual to weigh their own personal needs and goals against the cost and time commitment of obtaining certification. If you determine that having a certification would be beneficial for your career, then investing in obtaining one may be well worth it in the long run.
Related: Payroll Technician Resume Examples
FAQs About Payroll Technician Certifications
1. What qualifications do I need to become a payroll technician?
Answer: Most employers require that payroll technicians have at least a high school diploma or equivalent. Some employers may also prefer to hire candidates who have completed post-secondary courses in accounting, business administration, or related fields.
2. How long does it take to complete a payroll technician certification program?
Answer: The length of time required to complete a payroll technician certification program will vary depending on the specific program and its requirements. Most programs can be completed in one year or less with full-time study.
3. What topics are covered in a payroll technician certification program?
Answer: Payroll technician certification programs typically cover topics such as federal and state tax regulations, accounting principles, payroll laws, and computerized payroll systems.
4. Are there any additional certifications I should consider for my career as a payroll technician?
Answer: Yes, there are several additional certifications available for those interested in pursuing a career as a payroll technician. These include the Certified Payroll Professional (CPP) from the American Payroll Association (APA), the Certified Payroll Administrator (CPA) from the Institute of Certified Professional Accountants (ICPA), and the Certified Compensation Professional (CCP) from WorldatWork.
5. What is the job outlook for payroll technicians?
Answer: The job outlook for payroll technicians is expected to remain positive over the next decade due to an increasing demand for qualified professionals in this field. Job growth is projected to grow by 7% between 2019 and 2029 according to the U.S Bureau of Labor Statistics (BLS).