Starches are valuable biopolymers with several functional and technical applications. Physical and chemical modifications are needed to enhance starch functionality. Modified starches exhibit high technological properties in food and non‐food applications. Modified starches are designed to overcome some physicochemical shortcomings of native starches, such as loss of thickening power and viscosity during thermal treatments, storage, retrogradation, and syneresis. Phosphorylation is an effective technique to enhance the functional traits of starches and to modify its physicochemical characteristics (i.e., pasting, gelatinization, and retrogradation). This review summarizes preparation methods, physicochemical properties as well as food and non‐food applications of phosphorylated starch (PS). PSs are being used as a thickener, emulsifier, and stabilizer in food applications. Furthermore, PS can be used as a sedimentation agent for the reclamation of wastes of spent water from the processing of fruits, meat, fishes, vegetables, and brewage. Because PS can substitute and reduce the amount of polyvinyl alcohol, it is used for fixing and sizing in the textile industry. In addition, PS can be used for paper sizing or paper cardboard adhesive coating. It is anticipated that new ventures for PS and their diverse applications will continue to be of a major interest in applied sciences. Phosphorylation is an effective technique to enhance the functional traits of starches. This review summarizes preparation, physicochemical properties, and applications of phosphorylated starch (PS). It is anticipated that new ventures in PS and their applications will continue to be of interest in applied sciences.