When individuals are given tests that are too hard or too easy, the resulting scores are likely to be poor estimates of their performance. To get valid and accurate test scores that provide meaningful results, one should use functional-level testing (FLT). FLT is the practice of administering to an individual a version of a test with a difficulty level that best matches the test taker's current performance. The often-confused terms "in-level" and "out-of-level" testing refer to the assessment itself and the group for which it was designed, but FLT refers to the individual being assessed and to matching the difficulty level of the test to the individual's expected level of performance. To implement FLT, the teacher must first determine the expected level of performance and then ensure that there is test material for all levels. There are challenges to administrating the FLT including the careful administration and scoring of the tests and the difficulty in explaining results so that test takers feel they were treated fairly. Some issues in scoring and reporting results are discussed. (Contains six tables and three references.) (SLD)