Alaska Paycheck Calculator
Calculate your take-home pay per paycheck for salary and hourly jobs after federal & Alaska taxes
Updated for 2024 tax year on Jul 06, 2024
Calculate your paycheck in these states
How to calculate your Alaska paycheck
Table of Contents
Overview of Alaska
Alaska has a population of under 1 million (2019) and is the largest state, twice the size of Texas. The state’s economy is heavily reliant on its natural resources, including oil, gas, and fishing.
Brief summary:
- zero income tax rate ranges
- 0.5% State Unemployment Insurance (SUI) up to $49,700
- no standard deductions and exemptions
Understanding your Alaska paycheck
Alaska has unique payroll practices that set it apart from other states. We will explore the various components of an Alaskan paycheck and help you understand how your hard-earned money is allocated.
First, you are subject to federal income taxes. Your income tax liability is based on your income, filing status, and other factors. You will also pay FICA taxes – Social Security (6.2%) and Medicare (1.45%). These taxes fund social insurance programs for retirement, disability, and healthcare benefits.
If you earn over $200,000, you need to pay an extra 0.9% for Medicare.
When starting a new job or changing your withholding allowances, you must complete an IRS Form W-4. This form helps your employer determine the correct amount of federal income tax to withhold from your paycheck. Your pay frequency will also impact the amount withheld and your take-home pay.
Your marital status plays a role in determining your federal income tax, thus the withholding from your paycheck. Additionally, you may have pre-tax deductions, which reduce your taxable income and tax liability. Some example are contributions to retirement plans or health savings accounts
There is no income tax for Alaskans. Instead, Alaska funds its state government primarily through oil and gas revenues. There also is a payroll tax for State Unemployment Insurance (SUI) up to a certain wage.
Since the state has no income tax, residents cannot claim standard deductions or personal exemptions.
Post-tax deductions are amounts taken from your paycheck after taxes are withheld. These deductions may include charitable contributions, garnishments, or voluntary benefits such as life insurance premiums. Post-tax deductions do not reduce your taxable income but may provide other financial advantages depending on your circumstances.
Calculate your Alaska paycheck
Calculating your Alaska state income tax is different from the steps we listed on our main paycheck calculator page:
- Determine your gross income
- Annual salary
Annual salary = Gross income - Hourly wage
Hourly wage × Hours worked per day × Days worked per week × Weeks worked per year = Your weekly paycheck
- Annual salary
- Work out your total federal income tax
- Gross income adjusted
Gross income − Pre-tax deductions = Gross income adjusted - Federal taxable income
Gross income adjusted − Federal standard/itemized deductions = Federal taxable income - Federal income tax liability
Federal taxable income × Federal income tax rate = Federal income tax liability - Federal payroll tax liability
Gross income × Federal payroll tax rate = Federal payroll tax liability
- Gross income adjusted
- Calculate your total Alaska state income tax
- Alaska state payroll tax liability
Gross income × Alaska state payroll tax rate = Alaska state payroll tax liability
- Alaska state payroll tax liability
- Figure out your net pay
You need to account for any other deductions such as health insurance, 401(k) contribution, as well as additional withholdings.
Gross income − (Total income tax liability + Total payroll tax liability + Total pre-tax deductions + Total post-tax deductions + Total withholdings) = Your net pay - Divide your net pay by your pay frequency
- Daily
Your net pay / Days worked per week / Weeks worked per year = Your daily paycheck - Weekly
Your net pay / 52 = Your weekly paycheck - Bi-weekly
Your net pay / 26 = Your bi-weekly paycheck - Semi-monthly
Your net pay / 24 = Your semi-monthly paycheck - Monthly
Your net pay / 12 = Your monthly paycheck - Quarterly
Your net pay / 4 = Your quarterly paycheck - Semi-annual
Your net pay / 2 = Your semi-annual paycheck - Annual
Your net pay = Your annual paycheck
- Daily
State payroll tax
| Tax year | Tax name | Percent of taxable wage | Up to taxable wage |
|---|---|---|---|
| 2024 | State Unemployment Insurance (SUI) | 0.50% | $49,700 |
| 2023 | State Unemployment Insurance (SUI) | 0.51% | $47,100 |
| 2022 | State Unemployment Insurance (SUI) | 0.56% | $45,200 |
| 2021 | State Unemployment Insurance (SUI) | 0.50% | $43,600 |
| 2020 | State Unemployment Insurance (SUI) | 0.50% | $41,500 |
State exemptions
Since there is no income tax, there is no need for exemptions.
FAQs
How to calculate take home pay in Alaska?
Work out your take-home pay in Alaska with the following steps:
- Determine your gross income
- Work out your total federal income tax
- Calculate your total Alaska state payroll tax
- Gross income minus taxes, deductions and withholdings
- Divide your net pay by your pay frequency
How much will Alaska tax paychecks in 2024?
There is no state income tax in Alaska but you will be taxed 0.5% for up to $49,700 for the unemployment insurance in 2024.
How much is taken out of my paycheck in Alaska?
The total amount taken out of your paycheck depends on your gross income, filing status and benefits. Federal income tax, Social Security tax, and Medicare tax will be deducted regardless. Although there is no income tax in Alaska, a portion of your paycheck will go to the state unemployment insurance.
What percentage of my paycheck goes to taxes in Alaska?
The taxes on your paycheck include
- federal income tax (10% to 37%)
- Social Security (6.2%)
- Medicare (1.45% to 2.35%)
- state unemployment insurance (0.5%)