Overtime Pay Exemption Pursuant to Act 2024-437: U.S. Fair Labor Standards Alignment*
Anleitung zur Berichterstattung und FAQs
For the tax period beginning on or after October 1, 2024, amounts paid as overtime compensation in accordance with the Fair Labor Standards Act shall be excluded from gross income and therefore exempt from Alabama state income tax. Tied with this exemption are employer reporting requirements to ALDOR. Employers are required to report the total aggregate amount of exempt overtime paid and the total number of employees who received exempt overtime pay.
Befreiung von Überstundenzuschlägen: Nutzung von My Alabama Taxes und
Vorhandene Formulare für Arbeitgeber zur Meldung
Employers are required to report to ALDOR:
- Beginning January 1, 2024, included with the monthly withholding tax report employers shall report the aggregate amount of exempt overtime paid during the period along with the number of employees who received the exempt overtime pay.
WER muss sich bei ALDOR melden?
- Alle Arbeitgeber, die verpflichtet sind, die Alabama-Steuer von den Löhnen ihrer Arbeitnehmer einzubehalten.
WELCHE Überstunden gelten als befreit?
- Amounts exempt from gross income will be overtime wages computed in accordance with the U.S. Fair Labor Standards Act. The effective date of this change will be October 1, 2024.
WHAT overtime qualifies as exempt for employees governed by the National Railway Labor Act?
- Amounts exempt from gross income will be overtime wages computed based on hourly component overtime as defined in relevant collective bargaining agreements.
- Employers governed by the National Railway Labor Act should continue to exempt employees’ wages based on hourly wages even after October 1, 2024.
WANN und WAS muss ich melden?
- Monatliche/Quartalsweise Berichterstattung ab dem Steuerjahr 2024:
- Wird mit den Formularen A-6 (monatlich) und A-1 (vierteljährlich) für die Quellensteuererklärung gemeldet.
- Die Arbeitgeber sind verpflichtet, Folgendes zu melden:
- Aggregate amount of exempt overtime paid during the period (month/quarter).
- Total number of employees who received exempt overtime pay.
WIE melde ich mich?
Sie melden sich mit Hilfe von Formularen oder Verfahren, die bereits in Ihrem My Alabama Taxes-Konto vorhanden sind.
- Monatliche/Quartalsweise Berichterstattung ab dem Steuerjahr 2024:
- Zwei Optionen für die Meldung über My Alabama Taxes:
- If you ARE NOT a Bulk Filer (your typical employer): You will input the data into the new field boxes on the Form A-6 and A-1 withholding returns.
- If you ARE a Bulk Filer: You will input the data utilizing the current bulk file for the A-6 and A-1 return by adding two new required text fields. *For layout instructions, please click on the following link:
- A1A62024Web File Layout (New: 10/18/2023)
- A1A6BlkFilingLayout2024 Excel File (New: 1/12/2024)
- Zwei Optionen für die Meldung über My Alabama Taxes:
Werden die manuellen Papierformulare angepasst?
- Due to the small number of manual paper forms received by ALDOR, the A-3, A-6, and A-1 paper forms will not be adjusted for this reporting. We encourage all employers to report and file through My Alabama Taxes. For information on registering for a My Alabama Taxes account, please visit myalabamataxes.alabama.gov.
Befreiung von Überstundenzuschlägen: Quellensteuer FAQ
Welche Überstunden gelten als befreit?
- Overtime pay received beginning on or after October 1, 2024, through June 30, 2025.
- The exempt overtime pay shall be based on the employee’s overtime computed in accordance with the Fair Labor Standards Act.
- For employers governed by the National Railway Labor Act, the exempt overtime pay is based on the overtime compensation as stated in relevant collective bargaining agreements.
For withholding tax purposes, only wages subject to Alabama withholding are used in calculating the overtime. This applies both to employees who are residents of Alabama and to employees who are non-residents.
- If an Alabama employee (resident) works in multiple states which require withholding would the overtime exemption apply to those wages?
For an Alabama resident, wages earned in another state which is subject to the other state’s withholding tax are not Alabama wages subject to Alabama withholding tax. Since the wages are not Alabama wages subject to Alabama withholding tax, the exemption would not apply in this case.
- If a non-resident is earning wages while in Alabama, would the overtime exemption apply?
If the wages are considered Alabama wages subject to Alabama withholding tax, any wages which would be considered overtime under the Fair Labor Standards Act would qualify whether earned by a resident or a non-resident.
- Wird die bezahlte Freizeit auf die 40-Stunden-Woche angerechnet?
No, paid time off does not count toward overtime. Under the Fair Labor Standards Act (FLSA), sick time, vacation time, or anytime an employee is not physically working does not count as time worked.
- Will an hourly part time or seasonal employee qualify for exempt overtime wages?
Yes, wages earned which qualify as overtime according to the Fair Labor Standards Act will qualify for exemption and reporting purposes if earned by an hourly part time or seasonal employee.
- Will an amount of overtime earned on or before June 30, 2025, but paid after this date qualify for exemption?
Nein, der Betrag muss vor dem 30. Juni 2025 eingehen/gezahlt werden, um für die Befreiung und die Berichterstattung in Frage zu kommen.
- Wird ein Arbeitnehmer, der innerhalb eines Berichtszeitraums mehrfach befreite Überstundenvergütungen erhält (z. B. wenn er wöchentlich bezahlt wird und innerhalb des monatlichen Berichtszeitraums viermal Überstunden erhält), zu Meldezwecken nur einmal für diesen Zeitraum oder mehrfach gemeldet?
Der Mitarbeiter wird für jeden Berichtszeitraum nur einmal gemeldet, unabhängig von der Häufigkeit der ihm geleisteten Überstunden. Für jeden Berichtszeitraum gibt es eine eigene Mitarbeiterzählung. Jeder Mitarbeiter, der für den Berichtszeitraum Überstunden erhält, wird nur einmal in den Bericht aufgenommen.
Abfolge der Abzüge und Ausschlüsse
To compute Alabama withholding tax, subtract pre-tax deductions as you currently do, then exclude the overtime wages, which leaves the gross taxable amount subject to Alabama withholding tax.
| Berechnung der Quellensteuer, wenn ein Arbeitnehmer Überstundenlöhne erhält, die von der Steuer befreit sind. Die in diesem Beispiel verwendeten Beträge dienen nur zu Informationszwecken und entsprechen nicht den tatsächlichen Beträgen. | ||
| Summe der Bruttolöhne in Alabama für den aktuellen Abrechnungszeitraum. | $ 5,600 | |
| Abzüglich: Vorsteuerabzüge (401k, 125 Cafeteria Plan usw., berechnet auf den Bruttolohn von Alabama). | $ -873 | |
| Weniger: Befreite Überstundenvergütung. | $ -750 | |
| Lohnbetrag, der in Schritt 1 der Formel zur Berechnung der Alabama-Quellensteuer zu verwenden ist. Weitere Informationen finden Sie in den Quellensteuertabellen und Anweisungen für Arbeitgeber. | $ 3,977 | |
Formular W-2 Meldung in Feld 14
ALDOR proposes that exempt overtime wages be reported in Box 14 of employees Form W-2 using “EX OT WAGES” as the indicator: for example, EX OT WAGES- $15,250
If space becomes an issue in Box 14, this may be abbreviated (e.g., EX OT $15,250), or the text may be wrapped.
Änderung der Meldung von befreiten Überstunden
- Ich habe mich bei My Alabama Taxes angemeldet und meine A1 oder A6 eingereicht. Allerdings habe ich bei den Angaben zur Überstundenbefreiung die falschen Zahlen eingegeben. Wie kann ich das korrigieren?
Log into your My Alabama Taxes account and send a message with the corrected OT exemption data. An ALDOR agent will assist in amending and updating the data. You may also email withholdingtax@revenue.alabama.gov with your withholding tax account number and the corrected OT exemption data.
- In der für meine A1 oder A6 eingereichten Massendatei waren die Zahlen für die Überstundenbefreiung falsch angegeben. Wie kann ich das korrigieren?
Log into your My Alabama Taxes account and send a message with the corrected OT exemption data. An ALDOR agent will assist in amending and updating the data. You may also email withholdingtax@revenue.alabama.gov with your withholding tax account number and the corrected OT exemption data.
ALDOR is committed to providing employers and business with guidance and information related to the overtime pay exemption. If you have additional questions related to withholding and reporting of exempt overtime pay, please email withholdingtax@revenue.alabama.gov.
*Act 2024-437 was signed into law on May 7, 2024.