Certificate vs diploma: Which one is better?

Getting a post-graduate qualification is a great way to deepen your knowledge. And aside from giving you valuable technical skills, it’s also guaranteed to make you a more appealing job candidate in a hiring manager’s eyes.

Diplomas and certificates are two types of courses you can use to further your career development. And while both these qualifications can help you to get ahead, it’s worth knowing the differences, so you can choose the best course to suit your goals.

Let’s take a look at the differences between a diploma and a certificate so you can make the right choice for you. 

The difference between a diploma and certificate

Under the Australian Qualifications Framework (AQF), there are 10 levels of post-graduate qualifications that are recognised across the country. Certificates and diplomas are two types of qualifications accepted by the AQF.

The main difference between a certificate and a diploma is the level of education (and therefore knowledge) they provide. A diploma qualification tends to provide a deeper understanding of a specific area of knowledge. A certificate, on the other hand, focuses on developing a distinct skill set. Because of the depth of skills and knowledge covered in a diploma, they often take longer to complete compared to certificates.

Here’s how the two stack up against each other. 

Certificate qualifications

Certificates are short courses that focus on a specific topic. Certificates are available at four levels: I, II, III and IV, which align with their respective AQF levels. As a general rule, the higher the certificate level, the more detailed the content and the longer the course duration. 

Certificates I and II tend to provide a basic introduction to a specific field. They don’t require you to complete any prerequisites, so you’re not expected to have any prior knowledge or experience to start them.

Certificate III or IV require a base level of skills, knowledge and experience, depending on the type of course or industry. You can’t do one of these courses as an absolute beginner. 

Diploma qualifications

According to the AQF, a diploma is a qualification that’s a step above a Certificate IV. Diplomas provide more advanced skills and a deeper understanding of a specific topic area. 

While some diploma courses don’t require you to have completed prior certificates or qualifications, other diploma courses call for a certain level of technical skills and knowledge. It depends on your area of interest. 

Is a diploma better than a certificate? 

While a diploma is a higher-level qualification than a certificate, that’s not to say that a diploma is necessarily better than a certificate. Ultimately, it comes down to what your educational and professional goals are.

Both certificate and diploma qualifications provide an opportunity to develop your skills in a post-graduate setting. By upskilling in a relevant area, you can give yourself a competitive advantage over those who don’t hold further qualifications.

If you’re looking to get a basic understanding of the skills and knowledge required for a particular field, a Certificate I or II could be the way to go. Alternatively, if you’re keen to apply more technical skills and knowledge in a specific field or even a real-world setting, a diploma offers a more specialised setting. 

For example, if you’re at the start of your career and you’re not sure which direction to head in, a Certificate I or II can be a great way to get a taste of a specific area. Professions like electricians, plumbers, building inspectors, personal trainers and childcare workers often require a certificate at a minimum to enter their industries.

On the other hand, if you’re looking to get ahead in your career with a course that uses theoretical knowledge and practical skills, a diploma can help. Completing a diploma qualification can allow you to excel in your career as a paralegal, IT specialist or healthcare technician, for instance.

Level of prestige and recognition

Both diplomas and certificates are recognised as post-graduate qualifications in Australia. So is a diploma higher than a certificate? Based on the AQF qualification levels: yes, a diploma is ranked at a higher level in a hierarchy of qualifications compared to a certificate. 

Certain roles and careers require specific qualifications, so it’s important to make sure your chosen path of study supports your future job aspirations. Undertaking a Certificate I or II within a certain field can give you a taste of what a potential career could look like if you’re unsure of the career path you want to pursue. 

Career paths and job opportunities

When it comes to mapping out your career trajectory, the first step is to identify your career goals. This means you can reverse-engineer to figure out what steps you need to take to get there. Depending on the role, industry or sector that you’re hoping to work in, one qualification might be more relevant or more highly regarded than the other. With this in mind, it’s important to do your research to figure out what qualifications you need to complete to enter your chosen career.

Here are a couple of examples of how to map out your career path and complete a certificate or diploma while you’re working towards your goal.

Career path to become an electrician

If you want to be an electrician, you’ll need to complete an apprenticeship and the relevant certificate to gain your qualification. Here’s how you could map out your career path:

1. Consider completing a Certificate II in Electrotechnology. While this certificate isn’t essential, it can provide you with the base knowledge and skills to set you up for success with an electrical apprenticeship.
2. Undertake an electrical apprenticeship and complete a Certificate III in Electrotechnology Electrician as part of your training. Most electrical apprenticeships take roughly four years to complete and include a combination of theory and practical experience.
3. Once you’ve completed your apprenticeship, you can apply for an electrician’s licence. The licensing and registration requirements differ by state, so make sure to follow local regulations.
4. Get other relevant licences that you need to carry out your work, like a white card to work on a construction site. 

Career path to become a dental technician

To become a dental technician, you need to complete a diploma qualification at a minimum. Here’s how you could potentially map out your career path:

1. Enrol in a Diploma of Dental Technology. You might even want to consider further expanding your skill set by undertaking a Bachelor of Dental Technology.
2. In some cases, you may be able to complete hands-on work experience with an apprenticeship or traineeship in dental technology. 

Further education and advancement opportunities

Lower-level qualifications can pave the way for more advanced studies and degrees. By starting at certificate level, you can build up your skills and progress to a diploma and beyond. 

Some courses require you to complete a lower-level certification before you gain entry. These entry-level courses often provide the foundational skills and knowledge required to excel in the more advanced qualifications. Plus, the more qualified you are for a position, the more likely you are to progress in your chosen field.

So, is a diploma better than a certificate? The answer depends on your career goals and what the expectations or requirements are for that role or industry.

Cost and time investment

The cost and time investments are two key aspects that set certificates and diplomas apart. Because certificates tend to provide a surface-level understanding of a specific topic, they’re a little less time-intensive than diplomas.  

Certificate vs diploma: time investment

Depending on the level of certificate and if you study full time or part time, they can take anywhere from eight weeks to two years to complete. And while the duration of the course is important to consider, it’s also worth factoring in the hours you’ll need to dedicate to your weekly at-home studies. With this in mind, certificates can be less demanding of your time than diplomas. 

Certificate vs diploma: cost investment

When it comes to the cost of certificates compared to diplomas, longer course duration often comes at a higher price. While certificates are often cheaper, you might find you’ll be set to gain more value by completing a diploma. Of course, it depends on your own goals and needs.

At the end of the day, it’s up to you to weigh up the costs and benefits that these different qualifications offer in terms of your career and education. 

Tips for deciding on a certificate or diploma

Upskilling can open up a range of opportunities that might not have been available to you before a certificate or diploma. And while completing these qualifications may offer a high return on investment, that’s not to say they’re inexpensive. It’s likely that you’ll still have to budget for these two different educational paths. Here are six tips to help you plan the time and cost investments for a certificate or diploma.

1. Hours of study: how much spare time can you dedicate to pursuing further study each week? If you’re planning on studying in a field you already work in, ask if your employer is willing to provide dedicated study time to help you.
2. Research program costs: different qualifications come with different costs. Reach out to education providers for detailed information on the tuition fees for both certificate and diploma programs. And remember to factor in other expenses like learning materials and student fees.
3. Review living expenses: are you able to cut costs in your living expenses that you could redirect toward paying for your qualification? Even if it’s only for a short period while you complete your course, making changes to your budget can help to take financial pressure off while you study.
4. Investigate employer assistance programs: some employers support their employees in pursuing relevant qualifications, so it could be worth checking if your employer offers sponsorship or financial assistance for further education.
5. Research payment plans: some financial institutions offer flexible payment plans for certain qualifications. That way you can pay your tuition in instalments rather than as a lump sum.
6. Explore financial assistance: depending on your circumstances, you might be eligible to receive government assistance, scholarships or grants. 

Making the right choice for you

When you’re choosing between a certificate or a diploma, it all comes down to your personal goals, interests and career aspirations. Here are a few key factors worth considering to help you choose the right qualification for you:

• Career goals: spend time identifying your long-term career goals. From here, you’ll be in a better position to research the entry requirements for the specific career or industry you are interested in. Some professions may require a certificate, diploma or higher qualification to be able to secure that type of job role.
• Industry requirements: while you’re exploring the qualification requirements for your chosen career, it’s also worth looking into the specific expectations of the industry as a whole. Consult with professionals in the field you're interested in or review job advertisements to understand the qualifications sought by employers in the industry.
• Time commitment: certificates generally have a shorter duration, making them suitable for those looking to enter the workforce quickly. On the other hand, diplomas can take longer but can offer a more comprehensive education, which has the potential to enhance your job prospects.
• Cost factor: take your time to evaluate your financial situation and assess whether you can commit to the cost of your chosen qualification. Diplomas tend to be more expensive than certificates due to the longer duration of study and more in-depth course materials.
• Prerequisites: while some certificates and diplomas don’t require prior education or experience, you might need to have some sort of educational or industry knowledge. For some higher-level certificates or diploma courses, you might have to complete lower-level certificates first.  

Still not sure what the right path is for you? It’s worth sitting down with a career advisor, guidance counsellor or mentor. They’ll be able to help you map out the best steps so you can make an informed decision to reach your career goals.

Certificates and diplomas can be a great way to get ahead in your career and achieve your five-year plan. Whether you’re looking for job progression, a career change or landing your first job, completing a qualification can give you the skills and knowledge to succeed.