Payroll Certification: How to Earn Your Credentials and Uplevel Your Career
Expertise is essential for many jobs. After all, you wouldn’t want an inexperienced cardiac surgeon, plumber, or defense attorney—and payroll training is just as vital because payroll errors have consequences. So, how can you share your expertise in a way that your current and future employers will notice?
One way is to become a certified payroll professional. Payroll certification demonstrates your up-to-date knowledge of payroll laws and best practices in an easily recognizable way. It also helps your employer feel confident in your abilities to keep the payroll process running smoothly and ethically as the world changes and your organization grows.
Not every employer requires it for a new hire, but the necessary steps it takes to become payroll certified can benefit your career. And from an employer's perspective, investing in your payroll administrator's professional development can have a lasting impact on your organization.
Award-winning software like BambooHR® helps you streamline your payroll process, and getting payroll certified can help keep the momentum going. Read on to learn what payroll certification is, what it takes to earn the credential, and how it can positively impact your organization.
What Is Payroll Certification?
Payroll certification is a designation that shows a payroll professional is experienced in their field and upholds the high standards necessary to do their job well. Several payroll certifications are available, and candidates must typically meet certain requirements to take and pass a credentialing exam. Many professionals within HR departments and beyond can earn a payroll certification, such as:
- Payroll administrators
- Payroll supervisors and managers
- Payroll consultants and educators
- Payroll systems analysts and coordinators
- Sales professionals in the payroll industry
- Client representatives from payroll service providers
Holding one or more certifications can help you reach your career goals. Plus, any continuing education (CE) required to keep your certificate helps you stay abreast of the latest developments in your field and refine your skill set.
Types of Payroll Certifications
The payroll certifications you can earn vary by institution and program level. Some people get payroll certified in college, but many professionals enroll in programs directly from industry leaders like PayrollOrg and the National Association of Certified Public Bookkeepers (NACPB). Here's an overview of the types of payroll certifications available from these two organizations:
PayrollOrg Certification Programs
PayrollOrg represents more than 30,000 members and trains over 100,000 payroll professionals worldwide. Several colleges and universities partner with this organization to help students become payroll certified. They also have several learning paths for professional development and recertification.
PayrollOrg offers a payroll certification for early career professionals:
The FPC program doesn't have any prerequisites, and no payroll experience is required to take the exam. However, candidates are encouraged to explore the study materials and training courses on PayrollOrg. The steps to earn this payroll certification include:
- Submit an FPC exam application and pay the fee.
- Make a reservation to take the test.
- Study for the payroll certification exam.
- Take the exam on your reserved testing date.
You can get recertified by either earning payroll CE credits or retaking the exam.
For those who are more advanced, PayrollOrg offers an additional certification opportunity:
To become a certified payroll professional at this level, you must meet one of the following exam eligibility requirements:
- Criteria 1: You've worked as a payroll professional for the last three years (out of the five years preceding the exam application date).
- Criteria 2: You've worked as a payroll professional for the last 24 months and completed the specified coursework.
- Criteria 3: You've worked as a payroll professional for the last 18 months, earned the FPC designation, and completed the specified coursework.
NACPB Certification and Licensing Programs
As a top bookkeeper organization in the US, the NACPB provides training, professional education, certification, and licensure to professionals in the field. Among other related programs, the NACPB offers payroll certification and payroll licensure.
To become NACPB payroll certified, you must complete the required training and pass the Uniform Payroll Certification Examination. Here's an overview of the steps needed to complete this milestone:
- Take the NACPB pre-assessment test.
- Complete the Payroll Fundamentals course (or an approved alternative).
- Take the post-assessment test.
- Pass the payroll certification exam.
Additionally, the NACPB offers licensing for payroll specialists:
To earn your payroll license from NACPB, you must fulfill the following requirements:
- Have one year of professional payroll experience.
- Complete the NACPB payroll certification and QuickBooks certification programs.
- Pass each program examination.
- Agree to follow the CPS Professional Code of Conduct.
- Apply for and receive your license.
Where to Find Payroll Classes Online
A wealth of free and low-cost resources for payroll professionals and other key members of an HR department are available across the internet. Here are some ways you can brush up on the fundamentals and see what's new in the world of payroll processing:
- Take online payroll classes: Many educational institutions, organizations, and industry leaders host online classes and workshops on sites like Udemy and Coursera.
- Search free payroll resources: From HR webinars to blogs and news articles, a ton of free content is on the web just waiting to be explored.
- Become a fan of the pod: Listening to podcasts specifically geared toward payroll and other HR topics is a great way to gain a little extra knowledge on your morning commute.
- Enroll in local payroll training sessions: PayrollOrg's resources aren't just available online—they also offer live payroll training in major cities nationwide.
- Learn more about your payroll software: Many payroll software providers have guided learning courses for their own systems, helping payroll specialists become experts in the platform their organization uses every day.
How Payroll Certification Fits in a Broader Business Strategy
From an employer's point of view, a certified payroll administrator who's actively involved in their own professional development can be a true asset, especially in making key compensation strategies a reality. Do you plan to hire gig workers? You’ll need an expert to make sure your pay system is flexible enough to handle temporary pay. Are you planning to open an office in different states? You’ll need an expert to handle a new set of payroll rules for each location.
Payroll software automation can cut down on tedious tasks and help with compliance, but it can't do it alone. It needs to account for tax laws at the federal, state, county, and sometimes city level, while also accounting for overtime laws, exempt vs. non-exempt employees, and benefit deductions. Even with the best, most intuitive payroll software on the market and a solid compensation plan, your organization still needs a well-trained human to ensure the right information goes in and smooth payroll comes out.
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