Alabama Minimum Wage Calculator
2026Alabama minimum wage is $7.25/hr (tipped: $2.13/hr). Convert between hourly, weekly, monthly, and annual pay.
Written and reviewed by Konstantin Iakovlev · Methodology · Updated
Alabama Minimum Wage
$7.25/hr
Tipped minimum wage: $2.13/hr
Alabama follows the federal minimum wage of $7.25/hr
Hourly Rate
$24.04
Monthly Pay
$4,166.67
Annual Salary
$50,000.00
Pay Breakdown
| Hourly | $24.04 |
| Daily (8 hrs) | $192.31 |
| Weekly | $961.54 |
| Biweekly | $1,923.08 |
| Monthly | $4,166.67 |
| Annual | $50,000.00 |
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
What's the minimum wage in Alabama?
Alabama follows the federal minimum wage of $7.25/hr (last raised in 2009). When you work in Alabama, your employer must pay at least this rate unless your job is exempt under FLSA (e.g., tipped employees, agricultural workers, certain student or learner roles).
Some local jurisdictions and large employers may pay more than the state minimum: cities like Seattle, San Francisco, New York City, and Washington DC have their own higher wage floors, and many large retailers and fast-food chains have raised internal starting wages to $15–$18/hr regardless of state law. Tipped employees may have a lower direct cash wage as long as tips bring total earnings up to the standard minimum; if not, the employer must make up the difference.
Use the calculator above to convert between hourly, weekly, monthly, and annual figures — useful for budgeting, comparing job offers, or understanding how an hourly raise translates to gross income. For overtime (hours above 40/week), most non-exempt employees earn 1.5× their regular rate; some states (CA, AK, NV, CO) require overtime above 8 hours/day as well.
Alabama minimum wage: tipped, youth, and indexing rules
- Tipped wage
- $2.13/hour (federal floor)
- Youth/training wage
- None
- Next scheduled change
- None scheduled
Alabama has no state minimum wage and follows the federal $7.25/hour floor (unchanged since 2009 — over 16 years), one of just five states that has explicitly preempted local jurisdictions from raising it (HB 174 of 2016 prevented Birmingham from setting $10.10). Tipped employees can be paid as little as $2.13/hour as long as tips bring the total to $7.25. There is no state-mandated overtime; federal FLSA rules apply.
Alabama Wage & Rate Details (2026)
| State Minimum Wage | $7.25/hr |
| Tipped Minimum Wage | $2.13/hr |
| Federal Minimum Wage | $7.25/hr |
| Difference from Federal | Same as federal |
| Weekly Pay (40 hrs) | $290.00 |
| Monthly Pay (est.) | $1256.67 |
| Annual Pay (2,080 hrs) | $15,080.00 |
Minimum wage — frequently asked questions
What is the federal minimum wage in 2026?
The federal minimum wage remains $7.25/hour, unchanged since 2009. The federal tipped-employee minimum is $2.13/hour (employer must make up the difference if tips don't reach $7.25). Many states and cities set higher minimums that supersede the federal floor for workers in those jurisdictions.
Which states have the highest minimum wage in 2026?
2026 leaders: Washington ($17.13/hr), Connecticut ($16.94/hr), California ($16.90/hr), New York ($17.00/hr in NYC + Long Island + Westchester), and Massachusetts ($15.00/hr). Several cities exceed their state minimum — Denver $19.32/hr, Seattle ~$21/hr for large employers, DC $17.95/hr. Most "high-wage" states index annually to inflation.
How is overtime calculated on minimum wage?
Federal FLSA requires time-and-a-half (1.5×) for hours worked over 40 in a week for non-exempt employees. At $7.25/hr regular, overtime is $10.875/hr. Some states (California, Alaska, Nevada, Colorado) also require daily overtime over 8 hours/day. Salaried employees making over the FLSA exemption threshold ($684/wk in 2026) are typically exempt from overtime.
Can my employer pay below minimum wage?
Generally no, but exceptions exist: tipped workers ($2.13/hr cash wage if tips reach minimum), under-20 trainees ($4.25/hr for first 90 days), full-time students in retail/agriculture (85% of minimum with permit), and certain disabled workers (special wage certificates). State laws often eliminate these exceptions — verify locally.
How does minimum wage affect take-home pay?
A 40-hour week at $7.25 federal minimum is $290/wk gross, $15,080/year. After federal income tax (mostly offset by EITC for low earners), FICA 7.65%, and any state tax, take-home is roughly $13,000–$13,500. At $16.90 California minimum: $35,152/year gross, ~$28,000–$30,000 take-home depending on filing status.