Alabama paycheck taxes at a glance
Alabama has income tax from 2% to 5%. Every paycheck also has federal income tax, Social Security (6.2%) and Medicare (1.45%) withheld. This calculator uses 2026 Alabama rules and 2026 federal brackets.
| Income tax | Progressive, 3 brackets (2%–5%) |
| Standard deduction | $3,000 single, reduced to $2,500 between $25,999 and $35,500 of income · $8,500 married, reduced to $5,000 between $25,999 and $35,500 of income |
| Personal exemption | $1,500 single · $3,000 married |
| Federal income tax deduction | Federal income tax paid is fully deductible |
| 401(k) contributions | Excluded from state taxable wages |
| Local income taxes | In some cities/counties — Some cities levy occupational taxes on wages earned in the city, e.g. Birmingham 1%, Gadsden 2% (about two dozen cities as of 2022). |
| State payroll deductions | None |
The calculator applies the main Alabama rates, deductions, exemptions and credits above. Dependent credits, itemized deductions and special rules for very high incomes are not included.
Alabama income tax brackets (2026)
Rates apply to Alabama taxable income, after deductions and exemptions.
| Single | Married filing jointly |
|---|---|
| $0 – $499: 2% | $0 – $999: 2% |
| $500 – $2,999: 4% | $1,000 – $5,999: 4% |
| $3,000+: 5% | $6,000+: 5% |
Take-home pay examples in Alabama
Single filer, standard deduction, no 401(k), paid bi-weekly.
| Salary | Take-home / year | / month | / paycheck | State & local tax | Total tax rate |
|---|---|---|---|---|---|
| $40,000 | $32,691 | $2,724 | $1,257 | $1,629 | 18.3% |
| $60,000 | $47,881 | $3,990 | $1,842 | $2,509 | 20.2% |
| $80,000 | $61,788 | $5,149 | $2,376 | $3,322 | 22.8% |
| $100,000 | $75,078 | $6,257 | $2,888 | $4,102 | 24.9% |
| $150,000 | $107,768 | $8,981 | $4,145 | $6,023 | 28.2% |
Full breakdown by salary: $30,000 · $40,000 · $50,000 · $60,000 · $70,000 · $80,000 · $90,000 · $100,000 · $120,000 · $150,000
Good to know
- Alabama is one of the few states that lets taxpayers deduct federal income tax paid when computing state taxable income.
- The state sales tax rate on SNAP-eligible food fell from 3% to 2% on September 1, 2025.
- Some Alabama cities, such as Birmingham (1%) and Gadsden (2%), levy an occupational tax on wages earned within city limits.
Also see the Alabama sales tax calculator.
Sources
Paycheck calculators for other states
Frequently asked questions
What is the Alabama income tax rate for 2026?
Alabama has a progressive income tax with 3 brackets for single filers, from 2% to 5% for 2026.
How much is $60,000 a year after taxes in Alabama?
A single filer earning $60,000 takes home about $47,881 a year ($3,990 a month) in Alabama, after federal income tax ($5,020), Social Security and Medicare ($4,590) and Alabama income tax ($2,509), using 2026 rules and the standard deduction.
Are 401(k) contributions taxed in Alabama?
No. Traditional 401(k) contributions lower both your federal and Alabama taxable income. They are still subject to Social Security and Medicare.
Do cities or counties in Alabama charge income tax?
Some cities levy occupational taxes on wages earned in the city, e.g. Birmingham 1%, Gadsden 2% (about two dozen cities as of 2022).