The PHR exam is issued by the Human Resource Certification Institute (HRCI) and is a requirement for obtaining PHR certification. The exam covers five functional areas: business management, talent planning and acquisition, learning and development, total rewards, and employee and labor relations. The exam costs $395 plus a $100 application fee, takes three hours, and consists of 150 scored questions (mostly multiple-choice) and 25 pre-test questions. Before taking the exam, an individual must have at least one year of experience in a professional-level HR position plus a Master’s degree or higher, two years in a professional-level HR position plus a Bachelor’s degree, or at least four years in a professional-level HR position plus a high-school diploma.