1.45% - Medicare Rate
Up to 4.12% - State Taxes
Minimum wage is $7.25/hr
6.2% of employee cost
Employer: has to contribute between 10.82%-13.89% of the employee's wages dependent on occupation.
Employee: has to contribute 10.82%-13.89% of his/her wages dependent on occupation.
Employer: Medicare - 1.45%
Employee: Medicare - 1.45% (additional 0.9% contribution for employees earning less than $200,000)
Employer: 6.0% and maximum taxable earnings are $7,000
Employee: Voluntary contributions permitted.
There are 12 public holidays, however private employers are not required to provide either any holidays off or additional pay for work during holidays.
An employee can be terminated at any time as they are considered “at will employees”. No specific termination policies.
According to Alabama Labor Law, employment can be terminated with no notice. However, if there is an employment contract than the stated notice is required.
There is no official state or federal law regarding severance payments. It depends on the company’s policies.