Standard setting, in the context of criterion-referenced test development, describes the process used to determine the thresholds of minimally acceptable performance levels. When there are two categories of performance, it is used to differentiate between those who have mastery of a given subject matter or skill set versus those who do not. The desired outcome of most standard setting sessions is a fair and defensible minimum passing score, also called a cutoff score or cut score. If there are more than two categories of performance, such as less than proficient, proficient, and advanced, then standard setting involves establishing multiple cutoff scores.