Alaska Paycheck Calculator 2026
Alaska takes no income tax from paychecks, but it is one of only three states where employees pay unemployment insurance: 0.5% of the first $54,200 of wages in 2026. The annual Permanent Fund Dividend is paid separately and is not part of payroll.
Last updated: October 2026
Pay and filing
Annual gross: $65,000
Used to stop Social Security at the $184,500 wage base and to start the extra 0.9% Medicare above $200,000 on this paycheck.
Form W-4
Step 3: $2,200 per child and $500 per other dependent, a year.
For example education or child care credits you expect to claim.
Interest, dividends or other income with no withholding.
Deductions beyond the standard deduction, including deductible IRA contributions.
Retirement and benefits
$3,900 a year, capped at the $24,500 employee limit for 2026.
Traditional contributions lower federal and most state income tax now, but not Social Security or Medicare.
Through payroll, an HSA avoids income tax and FICA. California and New Jersey still tax it.
2026 limit $3,400.
2026 limit $7,500 per household ($3,750 married filing separately).
Paycheck breakdown (biweekly)
Annual summary
Alaska paycheck rules for 2026
| State income tax, 2026 | No state income tax on wages |
|---|---|
| Deductions before tax | Not applicable |
| Withholding certificate | None (no state income tax) |
| Bonus (supplemental) withholding | None: no state tax is withheld from bonuses |
| Mandatory payroll premiums | Alaska Unemployment Insurance (employee share): 0.5% up to $54,200 |
| Local income taxes | None |
| Reciprocity agreements | None |
| Sales tax (for context) | 0.00% state, 1.82% average combined with local (rank 46 of 51) |
Worked example: $60,000 in Alaska
Single filer, paid every two weeks (26 paychecks), standard W-4, no 401(k) or other benefits.
| Gross pay | $2,307.69 |
| Federal income tax | -$193.08 |
| Social Security (6.2%) | -$143.08 |
| Medicare (1.45%) | -$33.46 |
| Alaska income tax | $0.00 |
| Alaska Unemployment Insurance (employee share) | -$11.54 |
| Take-home pay | $1,926.54 |
Alaska take-home pay at different salaries
Single filer, paid every two weeks, standard W-4, no benefits, no local tax.
| Salary | Per paycheck | Per year | To Alaska |
|---|---|---|---|
| $40,000 | $1,312.31 | $34,120 | $200 |
| $60,000 | $1,926.54 | $50,119 | $271 |
| $100,000 | $3,026.15 | $78,909 | $271 |
| $150,000 | $4,347.73 | $113,520 | $271 |
Living and working in Alaska
Alaska has no statewide sales tax, but many boroughs and cities levy their own, up to 7.85% in places. Residents also receive the annual Permanent Fund Dividend, which is federally taxable.
Alaska has no state sales tax, though local sales taxes average 1.82%.
Alaska has no state income tax and no state sales tax, and pays residents an annual Permanent Fund Dividend. The dividend is federally taxable even though Alaska itself taxes nothing.
Alaska paycheck questions
How much is take-home pay on $60,000 in Alaska?
A single filer paid $60,000 a year every two weeks, with no pre-tax benefits, takes home about $1,926.54 a paycheck in Alaska ($50,119 a year). Each $2,307.69 paycheck loses $193.08 to federal income tax, $176.54 to Social Security and Medicare and $11.54 to state payroll premiums. That is $271 a year less than the same salary in a state with no income tax or payroll premiums.
Does Alaska withhold state income tax from paychecks?
No. Alaska has no income tax on wages, so there is no state withholding certificate to fill in and no state income tax line on your pay stub. Alaska takes no income tax from paychecks, but it is one of only three states where employees pay unemployment insurance: 0.5% of the first $54,200 of wages in 2026. The annual Permanent Fund Dividend is paid separately and is not part of payroll.
If Alaska has no income tax, what does it tax instead?
Alaska raises most of its revenue from oil and gas severance taxes, which is why it can run without either an income tax or a state sales tax, and why its budget swings with the oil price. The state sales tax rate is 0.00%, and with local add-ons the average combined rate is 1.82%, ranked 46 of 51 (Tax Foundation, July 2026). A bigger paycheck can be partly offset by what you pay at the register and in property tax.
What else does Alaska take out of a paycheck?
Alaska Unemployment Insurance (employee share): Alaska is one of three states that charge employees an unemployment insurance premium: 0.5% of wages up to the 2026 taxable wage base of $54,200. On $60,000 these total about $271 a year.
How are bonuses withheld in Alaska?
Federally, a bonus paid separately is usually withheld at a flat 22% (37% on supplemental pay above $1 million in the year). For Alaska: None: no state tax is withheld from bonuses.
More for Alaska
- Alaska income tax calculator for the full year
- Paycheck calculator for all states
- Bonus tax calculator