Rigorously tested for accuracy and speed, this Alabama salary payroll calculator makes getting everyone paid a much easier process. It’s also backed by a tax database that’s constantly updated with the latest tax data. With so many advanced tools together in one place, you can take guesswork out of the payroll process and eliminate unnecessary frustration along the way.
Below, you’ll find three of the most frequently-asked-questions about our free salary payroll calculator and Alabama state income taxes:
- Is there a state income tax in Alabama?
Yes. Alabama uses a progressive system to determine an individual’s income tax rate. These rates run between 2% and 7% of personal earnings.
- Does Alabama have laws regarding termination pay?
No, Alabama does not enforce a time period within which to pay a former employee their remaining wages.
- Are there places in Alabama that levy additional local or county income taxes?
Yes. Birmingham and Bessenger levy an additional 1%, while the city of Gadsden tacks on extra 2%.