Valor Payroll Solutions

Alabama Payroll Information

Enterprise payroll expertise, exclusively for small businesses.

Paying Employees in Alabama

Alabama 2026 Minimum Wage:

$7.25/hour
Alabama Overtime Rules: 1.5 x’s the regular rate of pay for non-exempt employees for all hours worked over 40 in a workweek

Alabama Paystub Requirements:

No state requirement

How often do you have to pay employees in Alabama?

No state requirement

When is an employee’s final check due in Alabama?

No state law for final payment to an employee

Alabama Payroll Taxes

Alabama Withholding Tax

Alabama Withholding Tax Registration

Wages subject to Alabama withholding

All wages earned in Alabama are subject to Alabama withholding

Alabama Employee’s Withholding Exemption Certificate

Form A4

Alabama Withholding Tax Due Dates

If $1,000 or more withheld in the first or second month of the quarter, payments are due monthly by the 15th of the month following the month in which the tax was withheld.
If not, the payment is due quarterly by the last day of the month following the end of the quarter

Reciprocity

None

Alabama Unemployment Tax

Alabama Unemployment Tax Registration

Complete form SR2

Alabama Unemployment Tax Employer Liabilities

New employer rate: 2.7%
2026 Wage Base: $8,000

Alabama Unemployment Tax Due Dates

Return and payment are due quarterly on the last day of the month following the end of the reporting period

Alabama New Hire Reporting

New hires must be reported within seven days of hire/rehire (or twice per month if reporting electronically)
$25 fine per violation
Must report employee’s name, address, SSN, first day of work, newly or rehired, employer’s FEIN, name and address
New Hire Unit
Alabama Department of Labor
649 Monroe Street, Room 2683
Montgomery, AL 36131-0378
Phone: 334-353-8491
Fax: 334-242-8956
Email: [email protected]
Report Alabama new hires online

Alabama Child Support

Alabama Child Support Center
PO Box 244015
Montgomery, AL 36124-4015
Phone: 334-242-9300
Fax: 334-242-0606
Email: [email protected]
Remit Alabama child support payments online

Additional Alabama Business Resources

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If I could give a 10 star I WOULD!! Usually I don’t take time to actually write reviews unless the experience was top notch. Christina is by far the MOST patience and professional individual, I’ve had the pleasure of working with. She answered all of my seriously silly questions without belittling me. She responds very fast, with great detail and clarity. I’ll def be using her again. Thank me later!

Christina was extremely helpfully and very patient. Christina delivered good work on this project. I enjoyed working with her, Her communication was top-notch, she met all deadlines, and her skills were reasonably strong. She helped me find additional information. I enjoyed working with Christina and will definitely be working with her in the future. Thank you Christina.

Christina was very knowledgeable in all the HR and hiring rules. She really helped me set up the hiring system for my startup. She called CA FTB to confirm the details and went over and above to do her job perfectly. It was awesome working with her and I am glad I hired her.

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