Alabama Paycheck Calculator

Calculate your take-home pay after federal & Alabama taxes

Updated for 2023 tax year on Sep 19, 2023

What was updated? 2023 federal income tax, state income tax, standard deduction & exemption

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Paycheck calculator for Alabama

Overview of Alabama

Alabama, the “Heart of Dixie,” is a state that exudes Southern charm and hospitality. It is the 30th largest state in land area and the 24th most populous state in the country. The state follows a progressive tax system, meaning that the tax rate increases as an individual’s taxable income goes up. The median household income is $48,123 (2017).

Summary:

  • the income tax rate ranges from 2% to 5%
  • some cities have local income tax
  • no state-level payroll tax
  • has standard deduction and exemptions
Alabama United States

From Wikipedia

Understanding your Alabama paycheck

From federal to state income taxes, various elements affect your take-home pay. Let’s delve into the fascinating world of your Alabama paycheck and explore the factors that influence your earnings.

First and foremost, your paycheck will be subject to federal income tax. The amount withheld is based on the information provided on your Form W-4. In addition to federal income tax, you’ll also have FICA taxes (Social Security and Medicare) deducted from your earnings. These mandatory contributions are taken straight from your payroll.

If you’re self-employed, you’re responsible for paying the employer and employee portions of FICA taxes. This is known as the Self-Employment Tax, which covers both Social Security and Medicare contributions.

Your Form W-4 is critical in determining the amount of federal income tax withheld from your pay. It accounts for your filing status, number of dependents, and any additional withholdings your request. Your pay frequency (weekly, biweekly, or monthly) also affects the amount of taxes withheld from each paycheck.

Your marital status is another factor that influences your tax withholdings. Married individuals typically have lower tax rates than single filers. Pre-tax deductions, such as contributions to a 401(k) or health insurance premiums, can also lower your taxable income and potentially reduce your overall tax liability.

Alabama imposes a state income tax on its residents. The rates range from 2% to 5% based on income levels. While there’s no state payroll tax, some cities in Alabama do have local income taxes deducted from your paycheck. These rates vary by location and may affect your take-home pay.

Alabama offers a state standard deduction, which reduces your taxable income. The amount of the deduction depends on your filing status. Additionally, personal exemptions are available for you, your spouse, and any dependents you claim on your state tax return. These exemptions further decrease your taxable income, potentially lowering your overall tax liability.

Lastly, your paycheck may have post-tax deductions, such as wage garnishments, charitable contributions, or after-tax retirement plan contributions. These deductions are taken out after all taxes have been withheld and do not affect your taxable income.

Calculate your Alabama paycheck

Alabama tax year starts from July 01, the year before, to June 30, the current year. So the tax year 2022 will begin from July 01, 2021, to June 30, 2022.

Calculating your Alabama state income tax is similar to the steps we listed on our Federal paycheck calculator:

  1. Figure out your filing status
  2. Work out your adjusted gross income [Net income – Adjustments = Adjusted gross income]
  3. Calculate your taxable income [Adjusted gross income – (Standard/Itemized deductions + Exemptions) = Taxable income]
  4. Understand your income tax liability [Taxable income × Income tax rate = Income tax liability]
  5. Minus any tax liability, deductions, withholdings [Net income – (Income tax liability + Pre-tax deductions + Post-tax deductions + Withholdings) = Your paycheck]

State payroll tax

There are no state payroll taxes in Alabama.

State income tax brackets

Each filer type has different progressive tax rates. Refer to Tax Foundation for more details.

Tax year Filing status Taxable income Rate
2023
2022
2021
2020
Single
Married, Filing Separately
Head of Household
$0 – $500 2.00%
$501 – $3,000 4.00%
$3,001+ 5.00%
Married, Filing Jointly or Widow(er) $0 – $1,000 2.00%
$1,001 – $6,000 4.00%
$6,001+ 5.00%

Local income tax

Occupational tax is based on gross income.

Tax year Taxable income City Rate
2023
2022
2021
2020
Any Attalla 2.00%
Auburn 1.00%
Bear Creek 1.00%
Bessemer 1.00%
Birmingham 1.00%
Brilliant 1.00%
Fairfield 1.00%
Gadsden 2.00%
Glencoe 2.00%
Goodwater 0.75%
Guin 1.00%
Hacklebug 1.00%
Haleyville 1.00%
Hamilton 1.00%
Leeds 1.00%
Lynn 1.00%
Midfield 1.00%
Mosses 1.00%
Opelika 1.50%
Rainbow City 2.00%
Red Bay 0.50%
Shorter 1.00%
Southside 2.00%
Sulligent 1.00%
Tuskegee 2.00%

State standard deduction

Tax year Filing status Adjusted gross income Standard deduction amount
2023
2022
Single $0 - $25,999 $3,000
$26,000 – $26,499 $2,975
$26,500 - $26,999 $2,950
$27,000 - $27,499 $2,925
$27,500 - $27,999 $2,900
$28,000 - $28,499 $2,875
$28,500 - $28,999 $2,850
$29,000 - $29,499 $2,825
$29,500 - $29,999 $2,800
$30,000 - $30,499 $2,775
$30,500 - $30,999 $2,750
$31,000 - $31,499 $2,725
$31,500 - $31,999 $2,700
$32,000 - $32,499 $2,675
$32,500 - $32,999 $2,650
$33,000 - $33,499 $2,625
$33,500 - $33,999 $2,600
$34,000 - $34,499 $2,575
$34,500 - $34,999 $2,550
$35,000 - $35,499 $2,525
$35,500+ $2,500
Married, Filing Jointly $0 - $25,999 $8,500
$26,000 – $26,499 $8,325
$26,500 - $26,999 $8,150
$27,000 - $27,499 $7,975
$27,500 - $27,999 $7,800
$28,000 - $28,499 $7,625
$28,500 - $28,999 $7,450
$29,000 - $29,499 $7,275
$29,500 - $29,999 $7,100
$30,000 - $30,499 $6,925
$30,500 - $30,999 $6,750
$31,000 - $31,499 $6,575
$31,500 - $31,999 $6,400
$32,000 - $32,499 $6,225
$32,500 - $32,999 $6,050
$33,000 - $33,499 $5,875
$33,500 - $33,999 $5,700
$34,000 - $34,499 $5,525
$34,500 - $34,999 $5,350
$35,000 - $35,499 $5,175
$35,500+ $5,000
Married, Filing Separately $0 - $12,999 $4,250
$13,000 - $13,249 $4,162
$13,250 - $13,499 $4,074
$13,500 - $13,749 $3,986
$13,750 - $13,999 $3,898
$14,000 - $14,249 $3,810
$14,250 - $14,499 $3,722
$14,500 - $14,749 $3,634
$14,750 - $14,999 $3,546
$15,000 - $15,249 $3,458
$15,250 - $15,499 $3,370
$15,500 - $15,749 $3,282
$15,750 - $15,999 $3,194
$16,000 - $16,249 $3,106
$16,250 - $16,499 $3,018
$16,500 - $16,749 $2,930
$16,750 - $16,999 $2,842
$17,000 - $17,249 $2,754
$17,250 - $17,499 $2,666
$17,500 - $17,749 $2,578
$17,750+ $2,500
Head of Household $0 - $25,999 $5,200
$26,000 – $26,499 $5,065
$26,500 - $26,999 $4,930
$27,000 - $27,499 $4,795
$27,500 - $27,999 $4,660
$28,000 - $28,499 $4,525
$28,500 - $28,999 $4,390
$29,000 - $29,499 $4,255
$29,500 - $29,999 $4,120
$30,000 - $30,499 $3,985
$30,500 - $30,999 $3,850
$31,000 - $31,499 $3,715
$31,500 - $31,999 $3,580
$32,000 - $32,499 $3,445
$32,500 - $32,999 $3,310
$33,000 - $33,499 $3,175
$33,500 - $33,999 $3,040
$34,000 - $34,499 $2,905
$34,500 - $34,999 $2,770
$35,000 - $35,499 $2,635
$35,500+ $2,500
2021
2020
Single $0 – $23,499 $2,500
$23,500 - $23,999 $2,475
$24,000 - $24,499 $2,450
$24,500 - $24,999 $2,425
$25,000 - $25,499 $2,400
$25,500 - $25,999 $2,375
$26,000 - $26,499 $2,350
$26,500 - $26,999 $2,325
$27,000 - $27,499 $2,300
$27,500 - $27,999 $2,275
$28,000 - $28,499 $2,250
$28,500 - $28,999 $2,225
$29,000 - $29,499 $2,200
$29,500 - $29,999 $2,175
$30,000 - $30,499 $2,150
$30,500 - $30,999 $2,125
$31,000 - $31,499 $2,100
$31,500 - $31,999 $2,075
$32,000 - $32,499 $2,050
$32,500- $32,999 $2,025
$33,000+ $2,000
Married, Filing Jointly $0 - $23,499 $7,500
$23,500 - $23,999 $7,325
$24,000 - $24,499 $7,150
$24,500 - $24,999 $6,975
$25,000 - $25,499 $6,800
$25,500 - $25,999 $6,625
$26,000 - $26,499 $6,450
$26,500 - $26,999 $6,275
$27,000 - $27,499 $6,100
$27,500 - $27,999 $5,925
$28,000 - $28,499 $5,750
$28,500 - $28,999 $5,575
$29,000 - $29,499 $5,400
$29,500 - $29,999 $5,225
$30,000 - $30,499 $5,050
$30,500 - $30,999 $4,875
$31,000 - $31,499 $4,700
$31,500 - $31,999 $4,525
$32,000 - $32,499 $4,350
$32,500- $32,999 $4,175
$33,000+ $4,000
Married, Filing Separately $0 - $10,749 $3,750
$10,750 - $10,999 $3,662
$11,000 - $11,249 $3,574
$11,250 - $11,499 $3,486
$11,500 - $11,749 $3,398
$11,750 - $11,999 $3,310
$12,000 - $12,249 $3,222
$12,250 - $12,499 $3,134
$12,500 - $12,749 $3,046
$12,750 - $12,999 $2,958
$13,000 - $13,249 $2,870
$13,250 - $13,499 $2,782
$13,500 - $13,749 $2,694
$13,750 - $13,999 $2,606
$14,000 - $14,249 $2,518
$14,250 - $14,499 $2,430
$14,500 - $14,749 $2,342
$14,750 - $14,999 $2,254
$15,000 - $15,249 $2,166
$15,250 - $15,499 $2,078
$15,500+ $2,000
Head of Household $0 - $23,499 $4,700
$23,500 - $23,999 $4,565
$24,000 - $24,499 $4,430
$24,500 - $24,999 $4,295
$25,000 - $25,499 $4,160
$25,500 - $25,999 $4,025
$26,000 - $26,499 $3,890
$26,500 - $26,999 $3,755
$27,000 - $27,499 $3,620
$27,500 - $27,999 $3,485
$28,000 - $28,499 $3,350
$28,500 - $28,999 $3,215
$29,000 - $29,499 $3,080
$29,500 - $29,999 $2,945
$30,000 - $30,499 $2,810
$30,500 - $30,999 $2,675
$31,000 - $31,499 $2,540
$31,500 - $31,999 $2,405
$32,000 - $32,499 $2,270
$32,500- $32,999 $2,135
$33,000+ $2,000

State exemptions

There is state-level exemptions for all type of filers and dependents. Refer to Tax Foundation for more details.

Tax year Filing status Personal exemption amount
2023
2022
2021
Single
Married, Filing Separately
Head of Household
$1,500
Married, Filing Jointly or Widow(er) $3,000
Dependent(s) $1,000
2020 Single
Married, Filing Separately
Head of Household
$1,500
Married, Filing Jointly or Widow(er) $3,000
Dependent(s) $500

FAQs

What taxes does Alabaman pay?

Besides the state-level income tax ranging from 2% to 5%, some cities also have a local income tax. There is no state-level payroll tax.

How much do you make after taxes in Alabama?

A single filer who makes $48,000 annually will take home $38,290 after taxes.
The take-home pay for a married couple with a combined annual income of $96,000 is $76,580.

How much taxes will get deducted from a $48,000 paycheck in Alabama?

The total taxes deducted for a single filer are $503.17 monthly or $232.23 bi-weekly.