Alabama Minimum Wage

alabama minimum wage

Alabama is one of the few states that has not adopted a state minimum wage. So Alabama’s minimum wage follows the federal minimum wage effective July 24, 2009.

Alabama Minimum Wagealabama minimum wage

  • 2015 Minimum Wage:  $7.25/hour
  • 2015 Tipped Wage:  $2.13/hour

Cost of Living

According to recent studies by the Bureau of Economic Analysis the cost of living in Alabama is lower than most other states, with only three states  costing less for residents to live.  These calculations took into consideration things like goods and services and rent.  Based on this methodology a dollar in Alabama goes farther than a dollar in a state like California where the state minimum wage is currently $9.00 an hour.  After adjusting for inflation earning $7.25 in Alabama is considered equivalent to $8.23, while California’s higher rate of $9.00 an hour is worth only $7.97.

Get More Information

For more information from the U.S. Department of Labor, click the following link: Federal Minimum Wage

Source:  Bureau of Economic Analysis, Regional Price Parities

What do you think about Alabama’s minimum wage?  Please share your thoughts by leaving a comment below!

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