Alaska State Minimum Wage

Author: Jason Coles

Updated On:

Updated On:

In 2024, the minimum wage for the state of Alaska is $11.73 per hour. However, there are some other minimum wage rates in Alaska to be aware of.

This minimum wage increase occurred on January 1, 2024, and was only the second time the state saw an increase in the minimum wage since 2021.

The latest increase to the statewide minimum wage was a 51-cent rise, going from $10.34 to $10.85 per hour – this represented a 4.9% climb.

As an employer in Alaska, it is of the utmost importance to ensure you are paying your employees a wage higher or on par with the minimum wage, abiding by labor laws in the process.

Equally, as an employee within the state, you need to familiarize yourself with how much you should be getting paid, as well as the worker’s rights you are entitled to.

Here is what you should be earning if you are a full-time employee being paid the Alaska minimum wage rate:

  • Daily Minimum Wage: $93.84 (based on an 8-hour working day).
  • Weekly Minimum Wage: $469.20 (based on a 40-hour week).
  • Monthly Minimum Wage: $2,033.20 (based on a full-time month).
  • Yearly Minimum Wage: $24,398.40 (based on being paid 2080 hours per year).

It is important to note that these payments are before any income tax or other taxation has been deducted.

The graphic below highlights the Alaska minimum wage over the past several years. The minimum wage did not go up in 2022, however, it did in 2023 and 2024.

Alaska minimum wage

The way in which the Alaska minimum wage is calculated is through the Consumer Price Index – calculating many factors such as inflation and cost of living.

The reason behind the small increases to Alaska’s minimum wage each year is that they adjust their minimum wage (Alaska law) based on inflation using the Consumer Price Index (CPI).

Voters passed a ballot initiative in 2014, which requires the minimum wage to be adjusted annually for inflation.

It was on September 16, 2020, that Alaska agreed to increase the minimum wage rate by 1.5% ($0.15 cents) from $10.19 to $10.34 per hour effective January 1, 2021.

Something to keep in mind is that Alaska’s statewide minimum wage of $11.73 per hour is not the only minimum wage rate employees are subjected to.

In fact, there are quite a few exemption minimum wage rates, as well as some employment types that are totally exempt from the Alaska minimum wage.

Alaska Minimum Wage Exemptions

In addition to the regular minimum wage rate, there are a few Alaska state minimum wage exemptions that typically depend on your age or employment situation.

Below are the various minimum wage exemptions with some situational examples.

Alaska Student Minimum Wage

The minimum wage for student employees in Alaska is 85% of the Alaska state minimum wage, making their hourly pay $9.97 per hour in 2024.

This hourly rate is for any hours worked up to 20 hours per week. As a student employee, once you surpass 20 hours per week, you will be eligible to be paid the Alaska minimum wage rate of $11.73 per hour.

Being a student can be financially challenging, leading many students to pick up part-time jobs to make extra money while studying.

Despite a student minimum wage rate, many Alaska employers will not necessarily follow it and pay you equal to or more than the statewide minimum wage.

Many work-study programs are available at universities, which is a route many students go down. Still, coffee shop, cafe, bar, and restaurant jobs are commonly taken by students as they can work them into their class schedule.

Alaska Under 20 Minimum Wage

If you are under 20 years old in Alaska, federal law allows your employer to pay you as little as $4.25 per hour for your first 90 days of employment.

Once the 90-day period is over, you will be eligible to be paid the 2024 Alaska minimum wage of $11.73 per hour or potentially even more.

Fortunately for young workers, this is 90 calendar days and not 90 working days; therefore, it can be completed relatively quickly and within about three months.

Alaska Tipped Minimum Wage

Most states will have a different tipped minimum wage rate to the regular minimum wage, which is then supplemented by tip credits to ensure that the tipped employee will make at the very least the minimum wage rate for that state.

However, this is not the case in Alaska. In Alaska, tipped employees will be paid the full minimum wage rate of $11.73 per hour, with the addition of any tips they make on top of this, much to the delight of Alaska’s tipped employees!

Related: Alaska Tipped Minimum Wage

Alaska Overtime Minimum Wage

Once you work over 40 hours a week, you are eligible to be paid an overtime rate of 1.5 times your hourly wage for every hour you work past 40.

So, the overtime minimum wage in Alaska is $17.95 per hour, 1.5 times the minimum wage of $11.73 per hour.

Additional Employment Types Exempt from the Alaska Minimum Wage

Here are the other exemptions from the Alaska minimum wage, based on employment type:

  • Any individual employed in agriculture.
  • Any individual employed in the taking of aquatic life.
  • Any individual employed in the hand-picking of shrimp.
  • Any individual employed in domestic service (including babysitters) in a private home.
  • Any individual employed by the United States, State, or local government.
  • Any individual engaged in the activities of a nonprofit religious, charitable, cemetery, or educational organization.
  • Any individual engaged in the delivery of newspapers to consumers.
  • Any individual employed solely as a watchman or caretaker on premises, property, or plants not in operation for four months or more.
  • Any individual employed in a bona fide executive, professional, or administrative capacity as defined by the FLSA or the regulations adopted by those sections.
  • Any individual working as a salesman, or any salesman working on a straight commission.
  • Any individual employed in the search for placer or hard rock minerals.
  • Any individual who provides emergency medical services on a voluntary basis.
  • Any independent cab driver who establishes the driving area and hours, contracts on a flat rate basis for the use of the cab, cab permit, or dispatch service.
  • Any individual employed as a computer systems analyst, computer programmer, software engineer, or other similarly skilled employee.

Alaska Minimum Wage History

The table below shows the current rate and history of Alaska’s minimum wage over the past 40+ years since 1983.

You can see when there were increases in the minimum wage, how much they were, and what percentage increase it represents each year.

YearMinimum WageIncrease ($)Increase (%)
2024$11.73$0.888.11%
2023$10.85$0.514.9%
2022$10.34$00%
2021$10.34$0.151.5%
2020$10.19$0.303%
2019$9.89$0.050.5%
2018$9.84$0.040.4%
2017$9.80$0.050.5%
2016$9.75$1.0011.4%
2015$8.75$1.0012.9%
2014$7.75$00%
2013$7.75$00%
2012$7.75$00%
2011$7.75$00%
2010$7.75$0.506.9%
2009$7.25$0.101.4%
2008$7.15$00%
2007$7.15$00%
2006$7.15$00%
2005$7.15$00%
2004$7.15$00%
2003$7.15$00%
2002$7.15$0.5026.54%
2001$5.65$00%
2000$5.65$00%
1999$5.65$00%
1998$5.65$00%
1997$5.65$0.407.61%
1996$5.25$0.5010.52%
1995$4.75$00%
1994$4.75$00%
1993$4.75$00%
1992$4.75$00%
1991$4.75$0.4510.46%
1990$4.30$0.4511.68%
1989$3.85$00%
1988$3.85$00%
1987$3.85$00%
1986$3.85$00%
1985$3.85$00%
1984$3.85$00%
1983$3.85$00%

Alaska Department of Labor and Workforce Development Poster and Contact Details

As an Alaska employer, you need to remain compliant with the law, in order to do this, you must display an Alaska Labor Law poster in a prominent place within your establishment.

The good news is that you can acquire one of these posters for free from the Department of Labor and Workforce Development website, and download the poster.

Alaska Department of Labor and Workforce Development Contact Details

If you wish to contact the departments directly, here are all of the contact details you need:

Anchorage – Muldoon Job Center

1251 Muldoon Road, Suite 113
Anchorage, AK 99504
Phone: (907) 269-4900
Fax: (907) 269-4915
statewide.wagehour@alaska.gov
Hours: 8:30 am-4:30 pm

Fairbanks

675 7th Avenue, Station J
Fairbanks, AK 99701-4596
Phone: (907) 451-2886
Fax: (907) 451-2885
Hours: 8:30 am-4:30 pm

Juneau

1111 W. 8th St. Rm 302
P. O. Box 111149
Juneau, Alaska 99811-1149
Phone: (907) 465-4842
Fax: (907) 465-3584
Hours: 8 am-4:30 pm

Minimum Wage Rates for each State

Alaska

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Jason Coles

Jason Coles is the Founder of Foreign USA and its Chief Content Writer and Editor. Recognized as a prolific business plan writer by many prominent immigration attorneys in the U.S. who refer his services to their clients regularly, Jason has written over 1,335 business plans across the past 17+ years for start-up companies and franchises looking to expand their footprint in the United States. Jason is considered a seasoned expert in his field. He creates detailed business plans for his clients that include five-year financial projections, market and industry analysis reports, demographic studies, organizational charts, job descriptions, employee hiring plans, and more.