Alaska Payroll & Paycheck Tax Calculator
Running payroll in Alaska shouldn’t feel like braving an Arctic whiteout. From Anchorage to Juneau, our Alaska Payroll Tax Calculator keeps things crystal clear, helping you handle unemployment contributions, FICA, and federal withholdings — no guesswork, no frostbite. Whether you’re managing a small shop in Fairbanks or a fishing crew in Homer, you can calculate pay, deductions, and employer taxes faster than the northern lights fade.
Alaska Payroll Tax Steps
Even though Alaska doesn’t have a state income tax, employers must handle unemployment insurance and stay compliant with federal payroll laws. Here’s how to keep things smooth from pay period to payday.
Here are some key steps you’ll have to take to make smarter payroll decisions.
Step #1: Register with Alaska Department of Labor & Workforce Development
Start by registering with Alaska’s Employment Security Tax (ESTax) office for unemployment insurance. You can register online through myAlaska. New employers are assigned a default UI rate until they build experience.
You’ll also need to report new hires to the Alaska New Hire Reporting Center within 20 days of their start date.
Step #2: Understand Alaska’s Payroll Taxes
Alaska’s simplicity is its beauty:
No state income tax
No local income tax
State Unemployment (SUI): New employer rate ~2.0%, wage base $51,700
Employee Contribution: 0.5% of wages up to the wage base
Federal Taxes: Standard FICA (6.2% Social Security, 1.45% Medicare) and federal withholding
Step #3: Know Alaska’s Minimum Wage & Overtime Rules
Alaska’s minimum wage is $11.73/hour (2025).
Overtime kicks in after 40 hours per week at 1.5× regular pay. There’s no separate daily overtime requirement unless you’re under specific industry rules.
Step #4: Follow Alaska’s Pay Frequency & Final Pay Rules
Employers can pay on weekly, biweekly, or semimonthly schedules — just stay consistent. When an employee leaves, all wages owed must be paid within three working days if terminated, or by the next regular payday if they resign.
Step #5: Use Our Alaska Payroll Calculator
Our calculator handles it all:
Gross-to-net pay breakdown
Federal withholdings and FICA
State unemployment and employer taxes
See take-home pay instantly — accurate, compliant, and cold-proof.
Step #6: File Reports and Stay Compliant
Employers must:
File quarterly wage reports for SUI
Submit Form 941 (federal quarterly return) and Form 940 (annual FUTA)
Maintain records for four years
Fingercheck and any related entities do not offer tax, accounting, or legal advice. This content is designed for informational purposes only and should not be considered a source of tax, legal, or accounting advice. It is recommended that you consult your tax, legal, and accounting advisors before undertaking any related activities or transactions.