How Much will Alaskans Make? Alaska Minimum Wage Guide for 2025

By: Omprakash

On: Wednesday, August 6, 2025 10:30 AM

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Alaska has implemented a number of state-level wage legislation to complement federal wage standards.  One of the most prominent is the minimum wage in Alaska. In order to provide fair remuneration and allow workers to maintain a minimal level of living, this law establishes the minimum hourly wage that companies are permitted to offer. 

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In the US, the minimum wage is a significant component of the economy since it establishes the lowest compensation that employees can receive for their labor.  It assists in guaranteeing a minimum wage for employees.  The minimum wage, however, differs from one place to another based on municipal, state, and federal regulations.  For more information, see the post that follows.

Alaska Minimum Wage

The lowest hourly rate that employers in the United States are permitted to pay their workers is the federal minimum wage, which serves as the baseline.  It was last increased to $7.25 per hour in 2009 and is determined by the Fair Labor Standards Act (FLSA).  The median hourly salary for all workers in the United States is $35.00 per hour, which is far more than this rate, which guarantees that employers adhere to a minimum level of remuneration regardless of their location or industry.  The majority of workers are covered by Alaska’s minimum wage law, although there are a number of exceptions and unique circumstances in which it does not apply. These exclusions are intended to cover particular work scenarios or job classifications where a lesser salary might be allowed by law.

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In Alaska, the minimum hourly salary is $13.00.  With this number, the state is over the federal minimum wage, which is now $7.25 per hour.  Most significantly, this amount is not fixed; rather, it is modified annually using a formula based on the consumer price index and inflation.  In this sense, the minimum wage attempts to equal the state’s cost of living.  If your business has fewer than four workers, you are not eligible for this additional payment.  Additionally, the Alaska Department of Labor has approved a model that permits 10-hour workdays four days a week, provided that you do not work more than 40 hours in a week.

2025 Minimum Wage in Alaska – Overview

Post NameHow Much will Alaskans Make? Alaska Minimum Wage Guide for 2025
StateAlaska
CountryUSA
DepartmentAlaska Department of Labor and Workforce Development
Current minimum wage$11.91
BeneficiariesEligible labor
CategoryFinance
Year2025
Official Portallabor.alaska.gov

Current Alaska Minimum Wage in 2025

As of Jan 1, 2025, The minimum hourly salary in Alaska is $11.91.  The fact that this rate is among the highest in the US shows how dedicated the state is to making sure that earnings keep up with living expenses.  Each year, the Anchorage metropolitan area’s CPI is used to modify the minimum wage in Alaska.  In order to assist workers, preserve their purchasing power, this guarantees that wages will increase in tandem with the cost of goods and services.

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 All workers in Alaska are topic to the minimum wage, including those who are tipped.  As a result, industries are unable to use tips as a credit to the minimum wage. Additionally, the minimum wage in Alaska is $11.91 throughout the state because, in contrast to several other states, there are no local municipalities with higher minimum wage rates.

Alaska Minimum Wage Guide for 2025

How Overtime Works in Alaska?

The time premium, or overtime pay, is a unique aspect of the Alaskan labor system. Employees in Alaska are required to be paid more for: 

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  1. Either more than eight hours in a single day
  2. or other than forty hours in a workweek. 
  3. In other words, two more hours of work, equivalent to ten hours on a single day, are compensated at a rate of 150% of your base pay.

 If your corporation has fewer than four workers, you are not eligible for this additional payment.  Additionally, the Alaska Department of Labor has approved a model that permits 10-hour workdays four days a week, provided that you do not work more than 40 hours in a week. This model is known as a flexible workweek and must be pre-approved.

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Who set the Minimum Wage in Alaska?

State minimum wage determination and adjustments are handled by the Alaska Department of Labor and Workforce Development.  Using economic analysis, it assesses if raising the rate is required annually to keep up with the cost of living for its citizens.  In a state where the cost of products and services can be greater than in other parts of the nation due to its geographical site, this periodic review helps protect workers from their earnings losing value over time.

Labor Rights 2025 in Alaska

Following are the rights of Alaska Labor:

  • Fair pay for each hour worked.
  • Extra compensation for actively (when applicable).
  • Safe and dignified employed conditions.
  • Right to report manipulation without revenge.

You can visit the official website or get in touch with the Alaska Department of Labor if you have any questions or think your employer is not following the rules. Community organizations and Spanish-speaking helplines are also available to offer assistance.  Many working families still struggle because of the high cost of living in Alaska, even though the minimum wage of $13.00/ hour may appear good when compared to the federal minimum wage.  In places like Anchorage, Fairbanks, or Juneau, prices for things like food, utilities, and transportation are frequently higher.

Official WebsiteClick Here
HomepageMoyle-Council.org

Alaska minimum wage FAQs

What is eligibility to get minimum wage?

Minimum wages are fixed for employers in certain scheduled employment and those who will meet the eligibility requirements.

What is the current Alaska minimum wage in 2025?

The minimum wage in Alaska for 2025 is $11.91 per hour, this is a rise from 2024 rate of $11.73

Who manage the Alaska minimum wage?

The Alaska Department of Labor and Workforce Development manage the minimum wage.

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