Alabama Minimum Wage — Alabama is one of five states with no state minimum wage law. As of October 2026, most Alabama workers are covered by the federal Fair Labor Standards Act, which sets the minimum wage at $7.25 per hour — a rate unchanged since 2009. Tipped workers may be paid a cash wage of $2.13 per hour as long as tips bring total hourly pay to at least $7.25; if tips fall short, the employer must make up the difference.
Alabama Overtime — Alabama has no state overtime law, so federal rules apply: non-exempt employees must receive 1.5 times their regular rate for all hours worked over 40 in a single workweek. Because Alabama prohibits local minimum-wage ordinances and has no state agency enforcing wage claims, workers must file with the U.S. Department of Labor. If your employer isn’t paying you properly, you may be owed back wages plus additional damages.
