Alaska Paycheck Calculator
Estimate your Alaska take-home pay. Alaska has no state income tax on wages (repealed in 1980 as oil revenue surged) AND no state sales tax. Alaska is the only US state with neither. Additionally, every Alaska resident receives an annual Permanent Fund Dividend (PFD) from the state's sovereign wealth fund — typically $1,300-$3,200/year per resident depending on fund performance. State revenue comes primarily from oil/gas production taxes and royalties, plus federal transfers. Your paycheck loses only federal income tax and FICA.
How to use this calculator
- Type your gross pay per paycheck — what you earn before any tax or deduction comes out.
- Pick your pay frequency (biweekly is the default — it's the most common).
- Set your federal filing status (Single or Married Filing Jointly).
- If you contribute to a traditional 401(k), enter the percentage. Add any pre-tax health or HSA deductions per paycheck.
- The result updates as you go. Use Share link to send your numbers to someone else without retyping them.
A real example: a $60,000 salary in Alaska
Say you take a $60,000-a-year job in Tampa, paid every two weeks, single, no 401(k). That's $2,307.69 gross per paycheck. The math goes like this for the year:
| Line | Amount |
|---|---|
| Gross pay | $60,000.00 |
| Federal income tax (after the $16,100 standard deduction) | −$5,020.00 |
| Social Security (6.2% up to $184,500) | −$3,720.00 |
| Medicare (1.45%) | −$870.00 |
| Alaska state income tax | $0.00 |
| Take-home for the year | $50,390.00 |
| Take-home per biweekly check | $1,938.08 |
About 16% of your gross goes to federal taxes and FICA. The same $60k salary in California (top 13.3% MHSA combined) would lose another ~$2,420 to state tax — that's real money flowing to your savings or lifestyle, not the state treasury. Combined with the absence of other major state-level personal taxes, the Alaska tax profile is one of the most favorable in the US.
Now add a 5% traditional 401(k) and $200/month in pre-tax health premiums on a $120,000 salary, married, paid monthly: gross $10,000/mo, $500 to the 401(k), $200 to health. Federal tax for the year drops to about $9,032 (both pre-tax items reduce it), FICA runs about $8,996 (the 401(k) is still FICA-taxed, but the health premium isn't), and you take home roughly $7,798 a month.
How a Alaska paycheck is calculated
Because Alaska has no state income tax, the formula is shorter than most states:
A few details worth knowing:
- 401(k) and pre-tax aren't the same to the IRS. Traditional 401(k) lowers federal income tax but NOT FICA. Section 125 items (health insurance, HSA, FSA) lower both.
- Federal brackets are marginal. A higher bracket only applies to the dollars above the threshold, not the whole salary — earning your way into the 22% bracket doesn't tax your whole income at 22%.
- The Social Security cap is real. Once your wages cross $184,500 in 2026, no more Social Security tax until next year. Medicare keeps going on every dollar.
What Alaska paychecks look like at common salaries (single, no 401k)
| Annual salary | Federal tax | FICA | Net per year | Net per biweekly check |
|---|---|---|---|---|
| $40,000 | $2,620.00 | $3,060.00 | $34,320.00 | $1,320.00 |
| $50,000 | $3,820.00 | $3,825.00 | $42,355.00 | $1,629.04 |
| $60,000 | $5,020.00 | $4,590.00 | $50,390.00 | $1,938.08 |
| $75,000 | $7,670.00 | $5,737.50 | $61,592.50 | $2,368.94 |
| $100,000 | $13,170.00 | $7,650.00 | $79,180.00 | $3,045.38 |
| $150,000 | $24,734.00 | $11,475.00 | $113,791.00 | $4,376.58 |
Numbers above are estimates with the 2026 standard deduction, single filer, no 401(k) or pre-tax deductions. Your actual withholding will differ based on your W-4.
Tips to take home more
- Max out pre-tax benefits first. Health insurance, HSA, and FSA dollars reduce both your federal tax and FICA — that's a roughly 22–28% discount on those expenses for most people.
- A 401(k) is real money, not a deduction. A 5% contribution on $60k is $3,000 the IRS doesn't see right now. You're not losing it — you're moving it.
- Check your W-4 if your refund or bill is large. A big refund means you overpaid all year; a big bill means you underpaid. Either way, the IRS withholding estimator at irs.gov/W4App helps fix it.
- Track the Social Security cap. If you'll cross $184,500 this year, your last few checks will be noticeably bigger — useful to know if you're planning big purchases.
Frequently asked questions
Does Alaska have a state income tax?
No. Alaska repealed its individual income tax in 1980 (the last individual income tax was filed for tax year 1979). Alaska is also the only US state with neither income tax NOR statewide sales tax. State government is funded primarily by oil and gas production taxes, federal mineral royalty sharing, and earnings from the Alaska Permanent Fund (a sovereign wealth fund created in 1976).
How much of a $60,000 salary do you take home in Alaska?
A single filer earning $60,000 in Alaska with no pre-tax deductions takes home roughly $50,390 a year, or about $1,938 every two weeks. Federal income tax runs about $5,020 and FICA about $4,590. There's no state line on an Alaska paycheck — same take-home as Texas, Florida, or Wyoming. Plus you may receive the annual Permanent Fund Dividend (~$1,300-$3,200 in recent years) if you meet the residency requirements.
What is the Alaska Permanent Fund Dividend (PFD)?
The PFD is an annual cash payment to Alaska residents from the earnings of the Alaska Permanent Fund — a sovereign wealth fund created in 1976 that holds about $80+ billion in oil-revenue investments. Every Alaska resident who has lived in the state for the full prior calendar year and intends to remain receives an equal share. Recent dividends: $1,312 (2024), $1,702 (2023), $3,284 (2022), $1,114 (2021). The PFD IS subject to federal income tax — you'll get a 1099-MISC. But there's no state tax on it (no state tax exists in Alaska).
Does Anchorage have a sales tax?
No. Anchorage, Fairbanks, and Juneau all have $0 sales tax. About 100+ smaller Alaska boroughs and cities have local sales taxes (ranging 1-7%) — common in Bush communities. But the major urban centers have no sales tax at all. Combined with no state income tax and no statewide sales tax, Anchorage residents face one of the lowest total tax burdens in the US. The trade-off: higher cost of living for groceries, fuel, and shipping due to Alaska's remoteness.
Is Alaska a good state for high earners?
From a tax standpoint, excellent. No state income tax means a $250k earner saves about $15,000-$20,000/year vs California or New York. No state sales tax in urban areas. Plus the PFD adds modest income each year. Trade-offs: extreme winters in much of the state (especially Anchorage and Fairbanks), high cost of living (groceries 30-50% above lower 48), and limited business/career options outside oil/gas, fishing, tourism, healthcare, and government.