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Alabama Payroll Information

Enterprise payroll expertise, exclusively for small businesses.

Paying Employees in Alabama

Alabama 2024 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 Withholding Tax Registration

  • Register online using Alabama’s Department of Revenue website

 

Wages subject to Alabama withholding

  • All wages earned in Alabama are subject to Alabama withholding

 

Alabama Employee’s Withholding Exemption Certificate

 

Reciprocity

  • None

 

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

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Alabama Unemployment Tax Registration

  • Complete form SR2

 

Alabama Unemployment Tax Employer Liabilities

  • New employer rate: 2.7%
  • 2024 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

 

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