Decatur, Alabama

Decatur taxes for plant workers, retirees and the businesses around them

Decatur is about 40 miles, or just under an hour, from our office in Arab. Call ahead and we will set a time for your visit.

Call 256-586-4635 Contact us

We have one office, in Arab. We do not have an office in Decatur.

A river and rail city that makes things

Decatur, the Morgan County seat, grew up on the Tennessee River and the railroad, and the Port of Decatur has worked the river since 1971. Manufacturing is the largest source of jobs, and the county’s top employers include GE Appliances, Nucor Steel, United Launch Alliance and Wayne Farms. Plant work shapes many of the returns we see from Decatur, from overtime and shift pay to the retirement choices that come at the end of a career.^[2,3,4]

The city counted 57,938 residents at the 2020 Census. Its Revenue Department handles lodging, sales and use taxes. Local businesses, including the suppliers that serve the plants, are among those we help with payroll and bookkeeping.^[1,5]

Common on Decatur returns

Plant wages, overtime and shift differentials.^[2]
Pensions: Alabama does not tax defined-benefit pensions from private employers.^[6]
401(k) withdrawals are taxed by Alabama, with a partial exclusion at 65.^[7]

The Old State Bank building in Decatur — The Old State Bank, Decatur

Decatur questions

This is general information, not advice for your return. Every return is different, so please call us to talk about yours.

I am retiring from the plant with a pension and a 401(k). How does Alabama treat each?

Alabama does not tax pensions from defined-benefit plans, including private company pensions. The 401(k) is different: withdrawals are taxable in Alabama, though people 65 and older can exclude part of their retirement income. Rolling a 401(k) over and cashing it out are taxed very differently, so please call before you decide.^[6,7]

Tax planning

My overtime changes every month. How do I keep from owing?

Uneven overtime makes withholding hard to predict. Checking your pay stubs partway through the year is the simplest fix.

Income tax services

We supply parts to the plants. Can you handle our payroll?

Yes. We run payroll, file the quarterly reports and keep the books, so you can spend your time on your own work.

Payroll and bookkeeping

How we help Decatur

Plant employees W-2s, overtime, shift pay and a check of your withholding. New retirees Pensions, 401(k) choices and planning for the first year of retirement. Suppliers and small businesses Payroll, quarterly reports and bookkeeping.

Decatur to Arab

Call 256-586-4635 to set a time at our office in Arab, and bring your pay stubs or retirement paperwork along.

Call 256-586-4635 Other towns we serve

Sources

Local details on this page come from these public sources, checked in September 2026.