Alabama · Checked October 25, 2026
Alabama minimum wage, overtime and final paycheck rules
The Alabama minimum wage is $7.25 an hour, the federal rate. Next: no increase scheduled.
Minimum wage
Alabama: $7.25 an hour. No state minimum wage law; the federal $7.25 applies.
No change is scheduled as of October 25, 2026.
Tipped employees
Lowest cash wage before tips: $2.13. Tips plus the cash wage must reach at least the full minimum wage each workweek, or the employer makes up the difference.
Overtime
Time and a half after 40 hours in a workweek, the federal rule. Alabama does not add a daily overtime rule.
Final paycheck
| Fired or laid off | No state law |
|---|---|
| Quits | No state law |
Take-home pay in Alabama
See what a paycheck looks like after federal and Alabama taxes with the Alabama paycheck calculator.
Sources
- U.S. Department of Labor, Consolidated State Minimum Wage Table (July 1, 2026)
- U.S. Department of Labor, Minimum Wages for Tipped Employees (July 1, 2026)
Frequently asked questions
What is the minimum wage in Alabama?
$7.25 an hour as of October 25, 2026. No state minimum wage law; the federal $7.25 applies.
Is the Alabama minimum wage going up in 2027?
No increase is scheduled as of October 25, 2026.
When is a final paycheck due in Alabama?
If fired or laid off: no state law. If the employee quits: no state law.
These are summaries of state law for general information, not legal advice. Cities and counties can set higher minimums, and special rules cover minors, trainees, farm work and some industries. Check with the state labor department before you make a pay decision.