Maybe you have misunderstood the concept or took the wrong end of the stick.
Yes the more closer you come to Allah, the better he wants you to get, so there will be tests for you to pass. Allah will not test you beyond your capacity.
We go to school, we are given tests, as we mature, the tests get harder. If we are good as these tests, the teacher will test us with even more hard work, only to get the best out of us.
We can't stay at nursery level all our life, we need to keep moving as per our capacity.
Also, if a person has a good heart, for example, he gives in charity with his eyes closed. Is he rewarded? That depends on his intentions. If he did it for the sake of Allah, then only will there be reward in it. If he did it for name, fame, attention, sorrow (not for the sake of Allah) then why would Allah reward him.
When the time comes for getting rewarded, Allah will tell this kind hearted person that get his rewards from whose sake he gave in charity!
I would recommend listening to lectures on pride and arrogance too.