Alaska Taxes, Wages and Living Costs (2026)

Alaska has no tax on wage income, the 5th lowest combined sales tax (1.82%) and a $14.00 minimum wage as of 2026.

State income tax
None on wages
No wage tax
Combined sales tax
1.82%
0.00% state + 1.82% avg. local
Minimum wage
$14.00
State rate, July 1, 2026
Property tax
0.94%
Effective rate on home value
Electricity
28.83¢/kWh
Residential average, July 2026

What It Adds Up To

$6,389 a year: that is roughly what a Alaska homeowner earning $75,000 pays in state income tax ($0), sales tax on $25,000 of purchases ($455), property tax on a $300,000 house ($2,820) and electricity at 900 kWh a month ($3,114).

Alaska Income Tax in 2026

Alaska does not tax wages. No individual income tax on wages or salaries. A worker earning $50,000 or $100,000 owes federal income tax and FICA but no Alaska income tax. Source: Tax Foundation, rates as of January 1, 2026.

Take-Home Pay in Alaska

Estimated 2026 take-home pay for a single filer with no pre-tax deductions, using the federal brackets and $16,100 standard deduction, Social Security and Medicare, and Alaska's brackets above. Open the paycheck calculator set to Alaska to add a 401(k), change pay frequency or filing status.

SalaryFederal taxFICAState taxTake-home (year)Per biweekly check
$50,000$3,820$3,825$0$42,355$1,629
$75,000$7,670$5,738$0$61,592$2,369
$100,000$13,170$7,650$0$79,180$3,045

Sales Tax

The state rate is 0.00% and local governments add 1.82% on average, for a combined 1.82%, 5th lowest of the 50 states and D.C. (median 7.00%). A $1,000 purchase carries about $18 in sales tax at the average combined rate. Source: Tax Foundation, July 1, 2026.

Minimum Wage

The Alaska minimum wage is $14.00 an hour, 20th highest in the country, or $29,120 a year for full-time work, $14,040 more than the federal $7.25. Source: U.S. Department of Labor, July 1, 2026.

Property Tax

Homeowners in Alaska paid property taxes equal to 0.94% of home value on average, the 20th highest effective rate (median state 0.79%). On a $300,000 home that is about $2,820 a year, or $235 a month in escrow. Source: Tax Foundation (Census ACS data), 2024 data.

Electricity Prices

Residential electricity averaged 28.83¢ per kWh in July 2026, the 6th highest of the 50 states and D.C. (median 16.09¢). A household using 900 kWh a month would pay about $259 before fixed charges. Source: U.S. EIA, July 2026 data.

Alaska Compared with the National Median

MeasureAlaskaMedian state
Top income taxNone4.7%
Combined sales tax1.82%7.00%
Minimum wage$14.00$11.85
Property tax0.94%0.79%
Electricity28.83¢16.09¢

Alaska figures use statewide averages and skip credits, exemptions and local income taxes; check Alaska revenue and labor department sites before filing or hiring.

💰 Finance & Tax Calculators
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Alaska Income Tax Calculator
No state tax on wages
AK rates
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Mortgage Calculator
Payment plus Alaska property tax at 0.94%
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Home Affordability
Budget with 0.94% property tax
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Salary Converter
Hourly to annual; Alaska minimum $14.00
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Federal Tax Estimator
Federal 2026 tax plus no Alaska rate
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Retirement Calculator
Plan around Alaska tax-free wages
⚖ Legal Reference Calculators
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Small Claims Calculator
Alaska limit: $10,000
AK limits
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Statute of Limitations
Filing deadlines for Alaska legal claims
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Workers' Comp Estimator
Estimate Alaska workers' compensation benefits
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Alimony Estimator
Spousal support estimates for Alaska

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Planning a major financial decision in Alaska? Our Home Buyer's Guide and Retirement Planning Guide walk you through every step with the right calculator at each stage.