Phosphorus (P) is an indispensable element of living organisms and plays an irreplaceable role in the growth of crops. As a non-renewable element, the reserves of phosphorus rock, the primary source of phosphorus in nature, are facing the danger of exhaustion. As a phosphorus-rich solid waste, sewage sludge has gradually become a main renewable phosphorus resource. The combination of effective recycling of phosphorus and innocuous disposal of sewage sludge can not only alleviate the crisis of phosphate rock resources shortage but also reduce the environmental hazards of sewage sludge. This study reviewed the application of thermal treatment in sewage sludge disposal. Besides the advantages of reducing waste volume, decomposing organic pollutants, generating valuable byproducts, it can also significantly promote the recycling of phosphorus. Studies have shown that thermal treatment (incineration, pyrolysis, and hydrothermal) can enrich phosphorus in the products and transform the speciation of phosphorus to increase the bioavailability. The physical and chemical properties of different thermal treatment products and the speciation of phosphorus are different. The transformation and migration of phosphorus affect the efficiency of subsequent phosphorus recovery and reuse. At the same time, this study compared several general phosphorus recovery methods (wet extraction, thermochemical, and electrochemical methods), and further summarized the advantages and disadvantages of various methods and application conditions. This review summarizes recent advances in phosphorus recovery from sewage sludge, identifies challenges and knowledge gaps, and provides the foundation for future research aimed at achieving efficient, economic, and eco-friendly reclamation of phosphorus in sewage sludge.