20 free PHR practice questions

Correct answer: B · 45%, the net benefit divided by the program's costs

ROI compares the net benefit with what the program cost: (benefits − costs) ÷ costs × 100. The net benefit is $58,000 − $40,000 = $18,000, and $18,000 ÷ $40,000 = 0.45, or 45%. Dividing total benefits by costs gives 1.45, which is a benefit-cost ratio, not ROI; reporting it as 145% overstates the return by counting the money spent as if it were gained. Dividing costs by benefits (about 69%) reverses the comparison. Dividing the net benefit by benefits (about 31%) uses the wrong base. The PHR outline lists ROI and the success of training among the metrics HR should interpret to support business initiatives, so be ready to show the formula and say which figure is the denominator.

Look for this next time: ROI is net benefit divided by cost; benefits divided by cost is a benefit-cost ratio, not ROI.

Correct answer: D · Disclose the relationship and step out of evaluating that decision

The HRCI Code of Ethics asks certificants to avoid actual, apparent, or potential conflicts of interest, to follow published conflict-of-interest policies, to abstain from giving or seeking preferential treatment, and to disclose conflicts to the relevant stakeholders when they arise. Disclosing the relationship and stepping out of the evaluation does all of that and leaves the decision to people without a personal stake. Her own belief that she can be fair does not remove the appearance of a conflict. Scoring the bid lower on purpose is preferential treatment in reverse and is unfair to a qualified bidder. Striking the firm on her own decides the outcome for the committee without a business reason, which is the conflict acting in another form.

Look for this next time: When a personal interest touches an HR decision, disclose it and remove yourself; do not tilt the outcome either way.

Correct answer: A · 12.5%, using an average headcount of 240

Average headcount is (220 + 260) ÷ 2 = 240, and 30 separations ÷ 240 = 0.125, or 12.5%. Using the opening headcount (30 ÷ 220 ≈ 13.6%) or the closing headcount (30 ÷ 260 ≈ 11.5%) gives a rate that shifts with whether the company grew or shrank during the year, which is why an average is the usual base. Exit-interview data explains why people left; it is not needed to count how many did. The PHR outline lists attrition rates among the metrics HR interprets to support business decisions. Organizations sometimes report voluntary and involuntary turnover separately, so check which definition a question asks for before you calculate.

Look for this next time: Turnover rate = separations ÷ average headcount × 100; state whether voluntary and involuntary exits are combined.

Correct answer: C · Ask whether they can do the lifting, with or without accommodation

EEOC enforcement guidance on preemployment inquiries says that before a conditional job offer an employer may not ask disability-related questions or require medical examinations. Asking about back problems is disability-related, and EEOC lists questions about job-related injuries and workers' compensation history as off-limits at this stage. The same guidance allows an employer to ask whether applicants can perform any or all job functions, with or without reasonable accommodation, and to ask all applicants in the job category to describe how they would do them. An essential lifting duty does not open the door to medical questions before an offer. A medical exam is allowed only after a conditional offer, and only if all entering employees in the job category get it. Asking only some applicants targets perceived disability.

Look for this next time: Before an offer, ask about the ability to perform job functions, not about medical conditions or past injuries.

Correct answer: A · By the end of Thursday, within three business days of her start

USCIS's Handbook for Employers (M-274) says the employer or its authorized representative must complete Section 2 within three business days of the date employment begins, and gives this exact example: an employee who starts on a Monday must have Section 2 completed by Thursday. Requiring Section 2 before work begins is stricter than the rule; the handbook applies a first-day deadline only when someone is hired for less than three business days. Friday counts four business days, one too many. Thirty days confuses the I-9 with benefit enrollment windows, which have nothing to do with employment eligibility verification. The PHR outline places onboarding inside the talent acquisition lifecycle, so I-9 timing is fair game.

Look for this next time: Complete Section 2 of Form I-9 within three business days of the first day of work: Monday's hire by Thursday.

Correct answer: B · Give a notice with a copy of the report and the FCRA summary of rights

The FTC's guidance for employers says that before rejecting an applicant based on a consumer report, the employer must give a notice that includes a copy of the report it relied on and "A Summary of Your Rights Under the Fair Credit Reporting Act," so the person can review it and point out errors. Only after that comes the adverse action notice, with the reporting company's contact details, a statement that the company did not make the decision, and the person's dispute rights. A final rejection letter skips the pre-adverse step. A phone call does not deliver the required documents. The reporting company does not make or explain the employer's decision, and the later notice must say so. State and local fair-chance laws may add steps.

Look for this next time: Under the FCRA, a pre-adverse action notice with the report and summary of rights comes before the final decision.

Correct answer: D · Level 3, Behavior: whether people apply the skills on the job

Kirkpatrick's model evaluates training at four levels: Reaction (how participants respond to the training), Learning (the knowledge and skills they gain), Behavior (whether they apply what they learned on the job), and Results (the outcomes for the organization). Checking months later whether managers actually hold coaching conversations, as observed by their teams and compared with a baseline, measures on-the-job behavior, which is Level 3. A satisfaction survey at the end of the workshop would be Level 1, and an end-of-session quiz would be Level 2. Level 4 would look at outcomes such as engagement scores, retention, or productivity that the behavior change is meant to drive. The PHR outline asks HR to implement and evaluate development programs.

Look for this next time: Kirkpatrick Level 3 measures whether people use the new skills on the job, usually some time after the training.

Correct answer: C · Analyze the performance gap to confirm whether training will fix it

ADDIE begins with Analysis, followed by Design, Development, Implementation, and Evaluation. Analysis asks what the performance gap is, what is causing it, and whether training is the right solution. Here the drop followed a new phone system, so the cause could be the system's setup, call routing, or staffing rather than a lack of customer-service skill. If the problem is not a skill gap, a course will not fix it. Choosing a vendor and writing objectives are later design and development steps that assume the answer. A pilot belongs to implementation and tests a program that has not yet been justified. The PHR outline asks HR to administer development programs designed to achieve the outcomes the organization needs.

Look for this next time: Start with analysis: confirm that a skill gap, not a process or system problem, causes the performance issue.

Correct answer: B · $1,045, with the bonus included in the regular rate

DOL Fact Sheet #56C says nondiscretionary bonuses, such as one promised for meeting a target, are included in the regular rate. Step 1: total compensation is 45 × $20 = $900 plus the $90 bonus, or $990. Step 2: the regular rate is $990 ÷ 45 = $22.00. Step 3: each of the 5 overtime hours earns an extra half-time premium of $11.00, so 5 × $11 = $55. Total pay is $990 + $55 = $1,045. Figuring overtime on $20 alone ($800 + $150 + $90 = $1,040) leaves the bonus out of the regular rate. Paying $990 omits the premium entirely. Adding time and a half ($33 × 5 = $165) on top of straight time for all 45 hours pays the 5 overtime hours twice. A truly discretionary bonus would be treated differently.

Look for this next time: A promised bonus goes into the regular rate: divide total pay by hours, then add half that rate per overtime hour.

Correct answer: A · Likely misclassified: her main duty is not management, so overtime is owed

DOL Fact Sheet #17A says job titles do not determine exempt status; an exemption applies only when the employee's specific duties and salary meet all of the regulation's requirements. The executive exemption requires a primary duty of managing the enterprise or a recognized department and regularly directing at least two full-time employees or their equivalent. Her salary of $900 a week is above the $684 level the fact sheet lists, but the salary test alone is not enough; her duties fail the test, so she is likely nonexempt and owed overtime for hours over 40. The title does not change that. No hours cap creates an exemption. Some states set higher salary levels or stricter duties tests, so check state law as well.

Look for this next time: Exempt status needs both the salary tests and the duties test; a manager title alone proves nothing.

Correct answer: D · No, because she has fewer than 1,250 hours in the past 12 months

DOL Fact Sheet #28 (revised March 2025) sets three eligibility tests: 12 months of employment with the employer, at least 1,250 hours of service in the 12 months before leave begins, and work at a location where the employer has 50 or more employees within 75 miles. She meets the first and third tests but not the hours test, since 1,180 is below 1,250. All three must be met, so passing two is not enough. The FMLA has no partial entitlement for employees who fall short of the hours test; an eligible employee gets up to 12 workweeks in a 12-month period. She may still have rights under a state leave law, the ADA, or company policy, which HR should check before answering.

Look for this next time: FMLA eligibility needs all three: 12 months of service, 1,250 hours in the past year, and 50 employees within 75 miles.

Correct answer: C · Set measurable targets, a review period, support, and scheduled check-ins

A performance improvement plan works when the employee knows exactly what must change, by when, and with what help. Here that means stating the response-time target in numbers, setting a review period, naming the training or resources available, scheduling regular check-ins, and documenting both progress and the consequences of not meeting the targets. "Improve your attitude" is vague and personal rather than tied to job results, so it is hard to meet, hard to measure, and hard to defend if the employment ends. Dropping documentation leaves no record of fair notice. Announcing a plan to coworkers breaches the employee's privacy and damages trust. The PHR outline lists performance improvement plans and corrective actions among the performance activities HR supports.

Look for this next time: An effective PIP states measurable expectations, a time frame, support, check-ins, and documented consequences.

Correct answer: A · Share the results and build action plans with the department's employees

Surveys build engagement only when people see that their feedback leads to action. Sharing the department's results and working with employees, for example through focus groups, to choose a few concrete actions on recognition and growth turns the data into change and shows that speaking up mattered. Sitting on the results for a year tells employees their input disappeared. Tracing low scores to individuals breaks the confidentiality the survey promised, and that damages trust in every future survey. Repeating the survey a month later adds burden without adding information and suggests the results were doubted rather than heard. The PHR outline names surveys, focus groups, and action plans from feedback as ways HR supports participation and engagement.

Look for this next time: After an engagement survey, share results and involve employees in action plans while keeping individual answers confidential.

Correct answer: D · Notice at least 60 calendar days ahead, as a mass layoff

DOL's WARN employer guide says covered employers, generally those with 100 or more full-time workers, must give written notice at least 60 calendar days before a covered plant closing or mass layoff. A mass layoff includes laying off 500 or more workers at a single site during a 30-day period, or 50 to 499 workers when they make up at least 33% of the site's active full-time workforce. Here 150 ÷ 400 = 37.5%, which meets the 33% test, so the 500 figure does not excuse notice. WARN covers mass layoffs as well as plant closings. Thirty days is not the federal notice period. Some states have their own notice laws with lower thresholds or longer periods.

Look for this next time: WARN: 50–499 layoffs at one site trigger 60 days' notice when they reach 33% of that site's full-time workforce.

Correct answer: B · Treat it as an accommodation request and start the interactive process

EEOC's guidance on reasonable accommodation says a request can be made in plain English, need not mention the ADA or use the words "reasonable accommodation," and does not have to be in writing; an employer cannot ignore an initial request. Her words link a medical treatment to a workplace change, so HR should begin the informal, interactive process. If the disability or need is not obvious, HR may ask for reasonable documentation about the disability and her functional limitations. The employer may choose among effective accommodations. A modified schedule can be a reasonable accommodation, so a blanket denial is wrong. FMLA leave is a separate entitlement and does not replace the duty to consider an accommodation she asked for.

Look for this next time: An accommodation request needs no magic words or form; plain language starts the interactive process.

Correct answer: C · Accommodate unless it imposes a substantial burden on the business overall

EEOC's religious discrimination page states that after Groff v. DeJoy (2023), showing "more than a de minimis cost" does not establish undue hardship under Title VII; undue hardship is shown when a burden is substantial in the overall context of the employer's business. Voluntary swaps at no extra cost are among the common accommodations EEOC lists, and nothing here suggests a substantial burden. The "more than trivial" test is the standard Groff rejected. Some coworkers finding swaps inconvenient is not, by itself, a substantial burden on the conduct of the business. Title VII protects sincerely held religious beliefs and practices, not only those of established or formally organized religions, so membership is not the test.

Look for this next time: After Groff v. DeJoy (2023), religious accommodation is required unless it creates a substantial burden for the business.

Correct answer: A · Investigate promptly and impartially; use interim steps that do not burden her

EEOC explains that an employer is liable for coworker harassment if it knew, or should have known, about the harassment and failed to take prompt and appropriate corrective action. Once she reports, the employer knows, so HR should start a prompt, impartial investigation and, if needed, take interim steps such as changing the coworker's schedule or contact, not hers. Waiting for more complaints leaves the conduct unaddressed after notice. Moving her to nights penalizes the person who complained, and EEOC lists transfers to a less desirable position and schedule changes that conflict with family duties as possible retaliation. Sending her to confront the coworker shifts the employer's responsibility onto her. A strong performance record does not change the duty to act.

Look for this next time: After a harassment report, act promptly and impartially, and keep interim measures from burdening the complainant.

Correct answer: D · Do not approve it; a move like this can be retaliation even at equal pay

Filing an EEOC charge is protected activity, and EEOC says participating in a complaint process is protected from retaliation under all circumstances. EEOC's retaliation guidance warns against any response that would discourage someone from complaining about discrimination, and its examples include transferring an employee to a less desirable position and changing a worker's schedule to conflict with family responsibilities after an EEO complaint. An overnight shift for a parent of young children, proposed two weeks after the charge, fits those examples, so equal pay or a lateral label does not make it safe. The protection does not end when the charge is dismissed. If a legitimate business reason requires a change, HR should document it and review it carefully before anything moves.

Look for this next time: Retaliation is not limited to pay cuts; schedule or position changes that would deter complaints can qualify.

Correct answer: B · September 30, 2026, one year after her employment ended

USCIS's Handbook for Employers says to keep a former employee's Form I-9 for three years after the date of hire or one year after the date employment ends, whichever is later. Step 1: three years after hire is March 1, 2024. Step 2: one year after employment ended is September 30, 2026. Step 3: the later date is September 30, 2026, so that is the earliest the form may be destroyed. March 1, 2024 picks the earlier date and would have destroyed a form for an employee who was still working there. Three years after termination is not the rule. Keeping I-9s permanently is not required and keeps more personal data than the rule asks for. Other records have their own retention periods.

Look for this next time: Keep a former employee's I-9 until the later of three years after hire or one year after employment ends.

Correct answer: C · Grant only the payroll access her role needs and review it periodically

Role-based access with least privilege gives each user only the data needed for the job. A payroll specialist needs pay, tax, and time data; performance reviews, medical documentation, and investigation notes are sensitive and outside her role. Granting just the payroll permissions, and reviewing access periodically or when roles change, protects privacy and data integrity. Working in HR is not a reason to see everything. Sharing a manager's login breaks accountability, because the system can no longer show who viewed or changed a record. A shared spreadsheet copies sensitive data outside the system's security controls. Medical information, for example, generally must be kept separate and confidential under the ADA. The PHR outline lists system access, permissions, and data integrity among HRIS security practices.

Look for this next time: Grant HRIS access by role and least privilege, never by shared logins or uncontrolled data exports.