--- title: "Alabama SUTA 2027: $8,000 Wage Base, 2.7% New Rate | MCC" description: "Alabama SUTA 2027: wage base $8,000, new employer rate 2.7%. Worked example and official sources." url: "https://mcc-solutionsnj.com/bookkeeping/suta-alabama-2027" --- Free guide · State payroll tax # Alabama unemployment tax for 2027: wage base and new employer rate The taxable wage base, the starting rate, the report dates and a worked example, from the state's official pages. [![Intuit ProAdvisor Gold tier badge](/img/credentials/intuit-proadvisor-gold.png)](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)Gold tier in Intuit's ProAdvisor program. [See my Intuit listing](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77) Keeping your own books? Tallyfinch does invoices, bank import and reports on your computer. [See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software) **Short answer.** Alabama Department of Revenue: "Tax is due by an employer on the first $8,000 paid to each employee during a calendar year." The page states a standing amount with no end date, so 2027 is $8,000. New employers pay 2.7%. $8,000 taxable wages per employee for 2027 ## Unemployment tax at a glance 2027 wage base $8,000 (unchanged) 2026 wage base The department's FAQ: employers are taxed on the first $8,000 paid to each worker in a calendar year. New employer rate 2.7%. Newly liable employers pay 2.70% on the first $8,000 until they qualify for an experience rate (department FAQ). Rate range 0.2%–6.8% (2026). 0.20% to 6.80% including the 0.06% Employment Security Enhancement Assessment, depending on which of four rate schedules is in effect (department FAQ). The DOL table lists 0.20% to 5.40% before the assessment. Employee share None for unemployment insurance on the pages we read Agency Alabama Department of Workforce Registration [Register or open an account](https://workforce.alabama.gov/outbound-links/egov/). Register through the department's eGov system once you've paid wages for work in the state (department FAQ). ## Other amounts on the same official pages - **Employment Security Enhancement Assessment (ESA):** 0.06%. Shown on the rate notice next to the tax rate; included in the 0.20%–6.80% range. ## What it costs: an example Three employees at the new employer rate of 2.7% on the $8,000 base, with wages paid evenly through 2027. FUTA is 0.6% of the first $7,000. The employee share, if any, isn't included. Hiring in another state? [Employer registration in Alabama, done for you](/bookkeeping/out-of-state-employer-registration), or [a free bookkeeping health check](/bookkeeping/health-check). | Employee | Annual wages | SUTA | Base reached | FUTA | | --- | --- | --- | --- | --- | | Part time | $3,000.00 | $81.00 | Not reached | $18.00 | | Around the base | $8,000.00 | $216.00 | Q4 | $42.00 | | Above the base | $14,000.00 | $216.00 | Q3 | $42.00 | Total for the three: $513.00 state plus $102.00 federal. Run your own staff in the [SUTA and FUTA calculator set to Alabama](/bookkeeping/suta-futa-cost-calculator?state=al). ## Quarterly reports and payments | Quarter | Wages paid | Due | | --- | --- | --- | | Q1 | January–March | April 30 | | Q2 | April–June | July 31 | | Q3 | July–September | October 31 | | Q4 | October–December | January 31 (next year) | Contribution and wage reports are due the last day of the month after the quarter ends: January 31, April 30, July 31 and October 31 (department FAQ). Reports are filed online. ## Setting up the account for 2027 - Register for an unemployment tax account: Register through the department's eGov system once you've paid wages for work in the state (department FAQ). - Set the 2027 wage base of $8,000 in payroll. - Use 2.7% until your rate notice arrives; then enter the notice rate for the year. - Put the four report dates (April 30, July 31, October 31, January 31) on the calendar. - Keep each rate notice and wage base change with your payroll records; FUTA's 5.4% credit depends on paying the state tax on time. ## Official sources - [Alabama Department of Workforce: Employers FAQ](https://workforce.alabama.gov/employers/faq/) - [Alabama Department of Revenue: Unemployment Compensation Tax](https://www.revenue.alabama.gov/tax-types/unemployment-compensation-tax/) - [US Department of Labor: Significant Provisions of State Unemployment Insurance Laws, effective January 2026](https://oui.doleta.gov/unemploy/content/sigpros/2020-2029/January2026.pdf) - [US Department of Labor: FUTA Credit Reductions (page updated September 11, 2026)](https://oui.doleta.gov/unemploy/futa_credit.asp) - [US Department of Labor: 2026 State Unemployment Insurance Trust Fund Solvency Report (February 2026)](https://oui.doleta.gov/unemploy/docs/trustFundSolvReport2026.pdf) - [IRS: FUTA credit reduction (page last reviewed September 8, 2026)](https://www.irs.gov/businesses/small-businesses-self-employed/futa-credit-reduction) General information, not tax or legal advice. Checked November 2026 against the official pages above. States set each employer's own rate every year, and a base or rate can change after we check. Use the rate on your state notice, and confirm with the state agency, your payroll provider or a tax professional before you file. MCC Solutions isn't affiliated with any government agency. ## Alabama unemployment tax questions **What is the Alabama unemployment tax wage base for 2027?** $8,000 per employee, the same as 2026. Alabama Department of Revenue: "Tax is due by an employer on the first $8,000 paid to each employee during a calendar year." The page states a standing amount with no end date, so 2027 is $8,000. **What SUTA rate does a new employer pay in Alabama?** 2.7%. Newly liable employers pay 2.70% on the first $8,000 until they qualify for an experience rate (department FAQ). On a full $8,000 base that's $216.00 per employee for the year. **Are there other Alabama employer assessments on the same wages?** Employment Security Enhancement Assessment (ESA): 0.06%. Shown on the rate notice next to the tax rate; included in the 0.20%–6.80% range. **When are Alabama quarterly unemployment reports due?** first quarter April 30, second quarter July 31, third quarter October 31, fourth quarter January 31. Contribution and wage reports are due the last day of the month after the quarter ends: January 31, April 30, July 31 and October 31 (department FAQ). Reports are filed online. Compare every state: [SUTA wage base by state 2027](/bookkeeping/state-unemployment-tax-wage-base-2027) · [Arizona SUTA 2027](/bookkeeping/suta-arizona-2027) Tallyfinch ### Books you keep on your own computer Tallyfinch does invoices, bills, bank import, reconciliation and the main reports, in a file you own. $99 once, then $5 a month for updates; the app keeps working if you stop the plan. 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