Certification vs Licensure for Substance Abuse Counselors: What You Need to Know

If you’re looking into becoming a substance use disorder (SUD) counselor, the terminology you’ll come across can be a bit confusing. On one website, you might’ve read that you need to become certified to practice as a counselor. On the other hand, you might’ve read that you need a license. So which is it? Are certification and licensure the same thing? The short answer is no — certification and licensure are not the same thing. In simplest terms… But of course, things aren’t that simple, and there are exceptions to these rules. The confusion comes from the fact that the two words aren’t used consistently at the state level.

• Some states use the term “certified” exclusively for counselors who have been appropriately vetted and legally authorized to perform substance use disorder counseling, whether credentialed by a nonprofit or a state government body. The term “certified” is always used in states that don’t regulate the profession through a state credentialing agency. In these states, the only option is to earn certification through a nonprofit professional association.
• In other states where both nongovernmental and state government entities grant credentials, the term “licensed” is used to denote legal authority granted by the state. In these states, there is a natural distinction between being certified by a nonprofit and holding a state license. It’s also common for state agencies to use the term “certification” for the state-issued entry-level credential and “license” for their more advanced credential.

The lesson here is to zero-in on how credentialing is handled in your own state. That’s really all that matters, especially in the early stages of your career. In most cases, determining whether you need to be certified or licensed as a substance use disorder counselor simply comes down to whether your state even offers a licensing option.

In states where both options are on the table, the decision will come down to how far you choose to advance up the credentialing ladder, and in turn, rn what scope of practice and level of practice authority you’re interested in achieving. To help you figure out what you need to know to earn the official authority to start offering counseling and other treatment services, we’ll explore the differences between certification and licensure and what is ultimately right for you.

Following Your State’s Credentialing Process Will Answer Most Questions About Certification vs Licensure

To determine if you need to be certified or licensed, start by figuring out your own state’s requirements to become a substance abuse counselor. States generally fall into one of three categories:

• Licensure is required for all SUD counselors.
• Licensure is required for advanced and clinical SUD counselors. Entry- and mid-level counselors need to be certified.
• Certification is required for all SUD counselors, and there is no licensure process.

If you live in a state where licensure is required for all counselors, there’s not much room for debate — you’ll need to be licensed through your state’s local licensing board. The same is true for states that require certification, except that, more often than not, you won’t be working directly with a state government credentialing board. Instead, you’ll work through a nongovernmental professional association to earn certification. Even in states where a government agency doesn’t issue credentials, there is still often a requirement for state registration to legally practice. Registration, in these cases, would depend on holding certification from a nonprofit recognized by the state.

At the National Level, Certification Always Refers to NAADAC and IC&RC Credentials

When talking about national certification, you’re always talking about credentials granted through one of two non-government professional associations. In the SUD counseling world, the two big, influential certification agencies are the International Credentialing and Reciprocity Consortium (IC&RC) and the National Association for Alcoholism and Drug Abuse Counselors (NAADAC). Their standards are informed by decades of service to the counseling world, research, and input from experienced counselors. At the state level, certification means something a bit different. Many states have local professional associations that offer certifications recognized by local employers and the public. More often, though, even at the state level, the professional associations are regional chapters of the IC&RC and NAADAC that help facilitate national certification for local substance abuse counselors. In some cases, this may mean helping counselors meet slightly tailored standards to earn the popular IC&RC and NAADAC certifications while meeting state practice requirements. In fact, IC&RC certification can be obtained only through state affiliates, while NAADAC offers a more traditional path to national certification by applying directly. The certification process always involves fulfilling experience and education requirements and then passing a final exam. While certification through the IC&RC, NAADAC, and local organizations is often voluntary, their credentials are highly regarded by the counseling community. In fact, many states integrate IC&RC and NAADAC standards into their own laws, and all states rely on exams from one or both agencies to test new counselors. National certification by itself, though, does not usually grant the authority to practice. Anywhere that a state government agency is in place to regulate the profession, you have to hold state-issued credentials, even if you’re already certified through a non-government professional association.

National Certification Will Play a Role in The Development of Nationally Uniform Standards

The US Department of Health and Human Services (HHS) has issued briefs showing that the American workforce is dangerously low on SUD counselors. This comes at the same time the country faces a continuing synthetic opioid epidemic. While there’s a complex mix of factors contributing to the shortage, the HHS puts at least part of the blame on a lack of uniform national standards and a needlessly complex credentialing matrix in many states. HHS went so far as to say that variations between licensing and certification processes across and within states are a primary contributor. The current situation creates unnecessary barriers to entering the field, too many hurdles to clear for experienced professionals looking to move up, and too many opportunities for insurance companies to avoid reimbursement for substance abuse treatment. HHS is advocating for more uniform standards nationwide and advising states with multiple counselor credentialing boards to combine them to move toward this goal. While government agencies like HHS and state licensing boards will most certainly be involved in this effort, the IC&RC and NAADAC will play a critical role as well. National certification can help you prepare for the shifting landscape of addiction counselor credentialing in the years ahead.

How Does Substance Abuse Counselor Credentialing Work in My State?

Essential Points to Know In States Where Both Certification and Licensure Are Available

Of course, in states where both certification and licensure are available, certified and licensed substance abuse counselors operate under different scopes of practice and legal authority, which in turn creates various job opportunities.

But since licensing comes at the top of the credentialing ladder in these states, it’s not really a matter of if you should become licensed, it’s more a matter of when. In fact, there’s a good chance you’ll find yourself graduating to a license in the natural course of your career progression.

Typically, certified counselors can provide counseling to groups, individuals, and families, and are involved in everything from admissions to discharge planning. They usually work under the general supervision of a fully licensed counselor. General supervision means that while your supervisor doesn’t have to be in the room with you while you work, they should be available for guidance. Insurance billing privileges for certified counselors vary by state. Some states allow accredited counselors to bill insurance under supervision, others require contracts with licensed supervisors or specific practice settings, and some restrict direct billing to licensed counselors only. Understanding your state’s specific insurance billing rules is critical to practice planning. In many states that offer certification and licensure, licensed substance abuse counselors often need a master’s degree in substance use disorder counseling or another human services field, and more on-the-ground experience. With this, licensed counselors have the clinical authority to diagnose and develop individualized treatment plans. At the highest credential levels, they gain independent practice authority, allowing them to supervise, run their own practices, and serve in high-level administrative positions. Licensed substance use disorder counselors generally have the authority to:

• Evaluate, review, and develop treatment programs.
• Train and oversee other counselors.
• Handle complex cases that involve mental health issues and other co-occurring disorders.
• Administer clinical interventions, such as cognitive-behavioral therapy.
• Diagnose psychological issues.

In many states where both certification and licensure are available, certified counselors aren’t legally permitted to perform these duties. In fact, even in states that don’t offer licensure in substance use disorder counseling, certified counselors may not be able to perform these duties. Instead, clinical responsibilities would be reserved for Licensed Mental Health Counselors (LMHC) and Licensed Clinical Social Workers (LCSW).

Think of Certification as the First Big Step Toward Becoming a Licensed Substance Use Disorder Counselor

Suppose you plan to run your own practice, perform the full scope of clinical duties, or qualify for supervisor-level credentials. In that case, earning a substance abuse counselor license is definitely in your future. Because qualifying for a license often requires earning a degree and substantial field experience, it can take years to complete the process. Certification will get you out into the field, helping you gain valuable experience much more quickly as you work to fulfill the requirements for licensure. This is by design and simply part of the process in many states. By the time you qualify for licensure, you’ll be an advanced practitioner in your role as a substance abuse counselor and able to understand and treat co-occurring mental health disorders.

Essential Points For States Where Credentialing is Handled Only Through Non-Government Professional Associations

If your state government doesn’t offer licensure in substance abuse counseling, then there’s no way to become licensed, and there’s nothing more to think about in that regard. Certification through local professional associations, local IC&RC affiliates, or national certification through NAADAC is still an option. Even voluntary certification of this nature may effectively be a de facto requirement. Even in the absence of a state regulatory board to enforce professional standards for substance abuse counselors, employers still need to hire counselors with specific skills. They want counselors who can:

• Use evidence-based methods to assess new clients, make treatment plans, and offer continuing care after discharge.
• Follow all record-keeping protocols.
• Make referrals and cooperate with other professionals as needed.
• Navigate the many ethical and legal challenges that come with being an SUD counselor.
• Incorporate psychopharmacology, biology, and other hard sciences into their duties.

To be eligible for certification through the IC&RC or NAADAC, you’ll need to have formal training that teaches these skills, along with a significant amount of supervised practice experience behind you, before taking the final certification exam. Of course, you can still develop these skills without becoming certified. Still, employers often favor applicants with certification, since the certification process effectively vets them, offering assurance that candidates have undergone rigorous training and experience that meet industry standards. To maintain your certification, you’ll be required to complete a specified number of continuing education hours every couple of years. In most cases, you can take online classes, read and contribute to recovery-focused research journals, and attend seminars to earn hours. These opportunities can help you stay up to date on the latest evidence-based interventions and provide a valuable resource, whether you’re looking for a new job or just trying to find new ways to help the people you serve. Along the way, you might even earn a certificate in a specialized area of practice, like serving people in the criminal justice system, young people, or people who’ve experienced trauma. Because counselor certification and licensing laws vary from state to state, relocating can pose challenges. But when you hold nationally recognized credentials, especially those that align with the standards of the state you’re relocating to, it opens the door to a greater level of interstate mobility. If you think your counseling career might take you to new places, you’ll want to consider becoming certified through the IC&RC. Their standards and exams are accepted in the vast majority of states. In addition to preserving high standards in the recovery treatment workforce, the IC&RC is dedicated to helping its members transfer their credentials to new jurisdictions.

Frequently Asked Questions About Substance Abuse Counselor Certification vs Licensure

What’s the main difference between certification and licensure for substance abuse counselors?

State government agencies grant licensure and provide full legal authority to diagnose, treat, and bill insurance directly. Nonprofit professional associations grant certification and may or may not include insurance billing privileges and full clinical authority — it depends entirely on your state’s requirements and how they recognize that credential. Some states allow certified counselors to bill insurance under supervision or in specific settings, while others restrict these privileges to licensed counselors only.

Can I practice as a substance abuse counselor with just a national certification?

National certification alone typically doesn’t grant practice authority. You still need to meet your state’s credentialing requirements, whether that’s state licensure, state certification, or state registration tied to your national certification.

Which states require licensure for all substance abuse counselors?

Thirty-one states offer licensure as an option for all or advanced-level substance abuse counselors, including Arizona, Colorado, Texas, Virginia, and many others. Check your state’s specific requirements to confirm which credentials you’ll need.

Is IC&RC certification better than NAADAC certification?

Both IC&RC and NAADAC certifications are highly respected. IC&RC can only be accessed through state affiliates and is recognized in most states, while NAADAC offers direct national accreditation. Your state may prefer or require one over the other, so check local requirements first.

How long does it take to get licensed as a substance abuse counselor?

Licensure timelines vary by state but typically require completing a degree program (2-6 years, depending on level), accumulating supervised clinical hours (1,000-4,000), and passing a state exam. The whole process can take 3-8 years, depending on your starting point and state requirements.

Can I bill insurance with certification instead of licensure?

It depends on your state’s specific laws and how they recognize your credential. In states where certification is the only credential available, you can typically bill insurance. In states offering both certification and licensure, certified counselors may face limits on insurance billing — though some states allow billing under supervision or in specific practice settings. Check your state’s insurance billing statutes and scope-of-practice regulations to understand what’s allowed with your credential.

Do I need a master’s degree to become licensed?

Requirements vary by state and credential level. Some states offer entry-level licenses with a bachelor’s degree, while clinical and independent permits typically require a master’s degree in counseling, social work, or a related human services field.

What happens if I move to a different state with my certification or license?

Interstate mobility depends on your credentials. IC&RC certification is recognized in most states, making relocation easier. State licenses typically don’t transfer directly, but many states have reciprocity agreements. You’ll need to apply for credentials in your new state and may need to meet additional requirements.

Why do some states call it certification and others call it licensure?

States use different terminology based on their regulatory structure. Some states use “certified” for all counselors regardless of who issues the credential. Others reserve “licensed” for state-issued credentials and “certified” for nonprofit credentials. A few states even use “certification” for entry-level state credentials and “licensure” for advanced ones. The terminology doesn’t always indicate the authority level — you need to look at what your state’s specific credential actually allows you to do.