Hourly Minimum Wage in Alabama

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The state-wide minimum wage for Alabama is $7.25 per hour as of January 01, 2023.

View all Alabama minimum wage values

Hourly Minimum Wage for Alabama and neighboring states in 2023

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Alabama minimum wage rate is $7.25 per hour in 2023. Workers receive a lower minimum wage in Alabama that exceeds the Federal Minimum Wage of $7.25. The Alabama minimum wage applies to most employees, with limited exceptions, including certain tipped employees, students or part-time workers, and other exempt occupations. The top 5 minimum wage states in the U.S. are District of Columbia, Washington, California, Connecticut, and Massachusetts.
The federal minimum wage is currently $7.25 per hour and has not increased since 2009. Demand for a living wage that is fair to workers is rising. In response to this rising demand, numerous states, cities, and other localities have already enacted or will change minimum wage levels. In the few states with no established minimum wage, the current federal minimum wage of $7.25 per hour will continue to apply.
Based on local legislation, many states have already enacted minimum wage increases or approved increases due for implementation at a future date.
These ever-changing laws, effective dates, and methodologies result in minimum wages that may change at different times or differ dramatically within a state or region. Minimum wage changes can be triggered for a location when these pre-determined conditions change and require careful monitoring to ensure compliance to the latest wage levels.
Salary.com continuously tracks all these complex changes. We can help to keep you informed about future changes and stay up to date on the latest minimum wage levels in your essential locations. Show me more data to view U.S. state minimum wages for future years.

Browse Minimum Wage by Year, and Forecast Minimum Wage Increase Trends in Alabama

The minimum wages in some states are higher than the federal minimum wage in 2023, including District of Columbia, Washington, California, Connecticut, and others. Many of the minimum wage increases were effective on January 01, 2018. Some states have effective dates occurring at different months of the year. Check the chart to stay up to date on the hourly minimum wage in Alabama.
View upcoming minimum wage changes to be on top of future changes to the minimum wage in your location.
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Hourly Minimum Wage for Tipped Employees in Alabama

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The tipped minimum wage is the lowest amount employers can pay an employee in occupations such as a bartender or server, that regularly receive more than $30 a month in tips. In some states, the tipped minimum wage may be lower than the non-tipped minimum wage because employers can claim a tip credit.
It is important to note that the tipped minimum wage can vary depending on where your business is and the size of the business. In some states, the tipped minimum wage is equal to the overall minimum wage for that state. In some locations, the federal tipped minimum wage applies. In other locations, the state-tipped minimum wage is set above the federal minimum. Tipped minimum wages may vary from state to state and can be frequently adjusted, making it essential to stay informed about the latest wage levels.
In Alabama, the tipped minimum wage is the same as the state minimum wage. It may be subject to adjustment based on other criteria, such as the size of the business.
See tipped data learn more about tipped and non-tipped minimum wage in Alabama.

What is the minimum wage in Alabama in 2023?

Alabama minimum wage in 2021: no state minimum level, Federal minimum wage US$7.25

Alabama minimum wage in 2020: no state minimum level

Alabama minimum wage in 2000: no state minimum level

Alabama minimum wage in 1980: no state minimum level

People's Opinions on Minimum Wage in Alabama

And although there is no set Alabama state minimum wage, it’s important to make sure you’re current on regulations and prepared for upcoming changes so you can plan accordingly.

09/23/2021

Every day, employers in Alabama pay sub-minimum wages, refuse to compensate their employees for short breaks and count overtime hours as straight pay.

09/05/2021

Minimum wage laws invite controversy, and Alabama’s latest tug-of-war between the state and its largest city is going to get another wider review.

08/28/2021

Because Alabama has no minimum wage law, Alabama employees are subject to the federal rules on tip credits and minimum wages for employees who receive tips.

08/23/2021

But the state legislature passed a measure in February prohibiting local Alabama governments from setting their own minimum wages, effectively voiding the increase.

08/08/2021

Immediately following that, the state legislature passed a law barring municipalities from setting their own minimum wage, effectively reversing the Alabama minimum wage increase.

07/21/2021

In addition to any Alabama-specific minimum wage exemptions described above, the Federal Fair Labor Standards act defines special minimum wage rates applicable to certain types of workers.

07/12/2021

But the evidence suggests that a minimum wage increase–either at the state or local level–will deliver disappointing results for the people of Alabama.

07/12/2021

Alabama’s minimum wage is unique, they don’t currently have an active minimum wage law, which means that they must abide by the federal minimum wage by default.

07/06/2021

Alabama passed a bill Thursday, largely along party lines, that bars cities and counties from raising the minimum wage or requiring employers to provide leave or other benefits.

06/30/2021

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Minimum Wage by State in 2023