The average salary in Alaska is around $75,973, which is slightly higher than the national average, according to the average salary survey. The state's remote location, high living costs, and specialized workforce requirements in the oil, healthcare, and public service sectors will demand high pay.
Compensation levels in Alaska depend on many factors, including job position, work experience, educational achievement, and geographic location. Alaska's salary system requires a thorough understanding of those looking for career possibilities, businesses that need remote or outsourced employees, and individuals in need of financial planning.
Whether you're looking to move, hire remotely, or manage your budget, this blog will help you understand Alaska's changing compensation conditions.
Statistical and Economic Analysis of Alaska's Average Salary
A. Average Salary in Alaska:
According to the Average Salary Survey, the Average Salary Survey Alaska in 2025 is $75,973.
The average monthly salary in Alaska in 2025 is $6,225 according to ZipRecruiter.
Workers in Alaska receive their salary package, which includes housing benefits, transportation allowances, and other perks, but these specific benefits differ between industries. The salary structure in Alaska depends on multiple factors that include job position, education level, geographical work location, and professional experience across different industries.
Workers in Alaska receive salaries that range from the lowest amount of $2,334 to the highest amount of $13,231 per month. The highest incomes usually exist in areas such as oil and gas, healthcare, and engineering, where specialized skills can pay considerably more than normal.
B. Median Salary:
The median monthly earnings in Alaska amount to $5,475, which equals an annual pay of $65,698. The median salary in Alaska divides workers into two equal groups where one group receives wages below this amount and the other group receives wages above it. The median salary serves as a reliable indicator because it reveals actual typical earnings that remain unaffected by unusually high or low pay.
Both job seekers and employers' benefit from this measure because it establishes a reliable benchmark for labour market wage standards in Alaska.
C. Minimum Wage in Alaska:
According to Alaska Department of Labor and Workforce Development, the minimum wage in Alaska stands at $11.91 per hour, which converts to a monthly minimum wage of $2,080 for the year 2025. The statewide minimum wage rate applies to all employees in Alaska, regardless of job type, and gets modified annually to reflect the rate of inflation. The Alaska minimum wage is insufficient to cover basic living expenses in areas where costs exceed the state average, particularly in Anchorage and other urban areas.
Factors Influencing the Average Salary
Average Salary by Industries:
Salaries in Alaska vary greatly by industry due to specialized skill demands, local living costs, and job-specific requirements. Healthcare and technology incomes are generally higher because these industries demand specific skills and qualifications, while construction and private services tend to offer significantly lower wages. The following table shows the average monthly earnings across several industries in Alaska:
| Industry | Average Monthly Salary (USD) |
|---|---|
|
Management
|
$12,517
|
|
Business and Financial Operations
|
$7,600
|
|
Computer and Mathematical
|
$7,616
|
|
Architecture and Engineering
|
$8,633
|
|
Life, Physical, and Social Science
|
$7,266
|
|
Legal
|
$8,734
|
|
Healthcare Practitioners and Technical
|
$10,505
|
|
Construction and Extraction
|
$7,594
|
|
Personal Care and Service
|
$2,875
|
|
Sales
|
$4,168
|
Source: U.S. Bureau of Labor Statistics
Average Salary by Experience:
Work experience is a crucial factor in setting salary levels in Alaska. Professionals often see continuous salary rises as their experience, knowledge of the field, and responsibilities grow. Entry-level workers usually earn much less than middle and senior-level workers.
The following is an overview of standard monthly incomes in Alaska depending on the work experience.
| Years of Experience | Average Monthly Salary (USD) |
|---|---|
|
0–1 year
|
$3,600
|
|
1–2 years
|
$4,008
|
|
2–4 years
|
$4,025
|
|
4–8 years
|
$6,100
|
|
8–12 years
|
$6,125
|
|
12–16 years
|
$8,800
|
|
16–20 years
|
$8,683
|
|
20+ years
|
$6,258
|
Source: Average Salary Survey
Average Salary by Education:
Workers' educational backgrounds in Alaska have a direct impact on their future incomes. People with higher levels of education are more likely to get better career opportunities and specialized work tasks, resulting in higher income. The table below provides data on the average salary of Alaska employees based on their level of education.
| Education Level | Average Monthly Salary (USD) |
|---|---|
|
High School
|
$4,250
|
|
Certificate or Diploma
|
$5,058
|
|
Bachelor’s Degree
|
$6,342
|
|
Master’s Degree
|
$7,467
|
|
PhD
|
$8,258
|
Source: Average Salary Survey
Average Salary by Location:
Salaries in Alaska differ by city and region due to varying costs of living, career options, and economic situations in each place. Better city infrastructure, combined with skilled worker demand, leads to higher salaries when compared to rural and remote areas.
| Location | Average Monthly Salary (USD) |
|---|---|
|
Anchorage
|
$5,750
|
|
Fairbanks
|
$5,417
|
|
Juneau
|
$5,583
|
|
Wasilla
|
$4,667
|
|
Ketchikan
|
$4,667
|
Source: Average Salary Survey
The largest and most vibrant city, Anchorage, maintains the highest monthly earnings among all cities in Alaska.
Average Salary by Gender:
Gender differences have a major effect on salaries in Alaska, but the pay gap between men and women has gradually decreased in recent years. Male and female workers continue to face differences in their salaries across several industry sectors and roles.
Men: The average monthly salary for men in Alaska is approximately $6,975.
Women: The average monthly salary for women is about $5,467.
Source: AverageSalarySurvey.com – Alaska
Average Annual Salary Increments
The salary growth in Alaska follows a pattern of 3-5% for new employees with under three years of experience and 5-7% for workers with three to five years of experience and 7-10% for employees with more than five years in their field. Professionals who have worked for more than ten years receive salary increases of 8-12% especially when they work in specialized fields such as healthcare, IT and energy. The amount of salary growth depends on job position and industry type and individual work performance and leads to greater increases in high-demand sectors.
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Free SignupBook DemoIs the Cost of Living in Alaska Affordable?
How Much it Costs to Live in Alaska:
Those who move to Alaska and manage remote teams must be knowledgeable about local living costs. According to numbeo by April 2025:
Without rent, a four-person household's expected monthly expenses come to $4,646.
When housing costs are excluded, the expected monthly budget for a single individual is $1,323.
Because of Alaska's remote location, high transportation costs, and cold temperatures, living expenses are higher than the national average for the United States.
Families must consider the high cost of living, especially in urban areas like Anchorage, while moving to Alaska.
The costs depend on four main factors: residents' standard of living, their exact Alaska location, their service access accessibility, and the need for seasonal heating equipment.
How to Plan Your Finances Effectively:
Effective financial management in Alaska can be achieved by combining budgeting methods with a strategic approach. It can be difficult to manage living expenses in Alaska, but putting these techniques into practice helps improve the control of costs.
- Set a monthly budget plan for tracking your rent expenditures, utilities, food prices, transportation costs, and personal expenses.
- To keep an eye on your spending, you should use finance applications or tools.
- People should set aside money for winter utility bills because heating costs might rise significantly during that season.
- Look into any state or local financial aid programs like the Alaska Permanent Fund Dividend (PFD) that may be able to help save money.
The high cost of living in Alaska will have a long-term impact on ecological sustainability, so those who decide to live there must carefully prepare their money.
Outsourcing to Alaska: Benefits and Challenges
Outsourcing to Alaska is an increasingly popular but little-known option for American businesses looking for domestic outsourcing opportunities. Because of the landscape, economics, and infrastructure, Alaska provides outstanding advantages while also offering distinct challenges.
Key Benefits of Outsourcing to Alaska:
U.S.-Based Compliance and Security:
Compared to the global sourcing methods, companies that are based in the United States benefit from the local laws, privacy regulations, and labor procedures that increase the effectiveness of the processes while decreasing the risk related to regulation.
Cost-effective Alternative to Major Cities:
Alaska is a cost-effective option for companies that are looking to cut costs without sacrificing quality because wages there are still fair but lower than those in San Francisco and New York.
Highly Skilled Niche Talent:
The skilled workforce in Alaska includes professionals from the healthcare, logistics, energy, IT, and environmental sciences, which makes the state an attractive destination for companies looking for specialized expertise.
Better Time Zone Alignment:
Since Alaska’s working hours are now more closely matching the Pacific and Mountain time zones, companies that work during these times can work together in real-time
Government Support:
To promote economic growth, the Alaska government provides financial support, workforce education and training programs, and organization tax deductions to companies that outsource.
Major Challenges of Outsourcing to Alaska
Limited Talent Pool: In modern technological sectors, there is a trained workforce, but the number of workers is limited.
Logistical and Geographic Barriers: Due to Alaska's remote location, shipping and travel times are delayed, which affects the speed of connectivity and availability in the rural areas.
Weather-Related Disruptions: Throughout the winter, extreme weather conditions often interfere with the business operations and infrastructure components.
Tracking and Collaboration Gaps: When remote teams are spread over great distances, there is a lack of data for the employee productivity and workflow efficiency.
Companies can overcome these challenges by using the productivity tracking tools, like Time Champ, to improve the accountability, transparency, and teamwork among remote or outsourced employees working in Alaska.
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Free SignupBook DemoManaging Remote and Outsourced Teams with Time Champ
Time Champ is a useful tool for managing both remote and outsourced staff with ease. To ensure complete transparency, employees are monitored in real time, their attendance is automatically checked, and their work is recorded in detail. Managers can use the platform to manage employee work and break hours, reducing the need for them to constantly monitor the team.
Time Champ's easy and accessible dashboards let customers keep track of activities and projects. Furthermore, it enables people in different time zones to effortlessly interact. Addressing key outsourcing difficulties enables Time Champ to establish strong trust and understanding between executives and remote staff.
Conclusion
Alaska has a unique economy because salaries there are usually higher than the national average, due to its remote location, tough weather, and unique industries. Several things influence the state’s salary landscape, including the type of industry, years of experience, education, and the location where people work. Most people in healthcare, engineering, and oil and gas earn the highest wages, and education continues to be a reliable way to earn more over time.
People moving to Alaska, companies hiring remote workers, and businesses considering domestic outsourcing should understand the state’s pay and living costs. Even with the difficulties of living in Alaska, its special job opportunities, beautiful scenery, and good quality of life keep attracting professionals from different fields.
If people and companies match their salaries with the cost of living and make use of the Alaska Permanent Fund Dividend, they can manage the state’s unique economy. For businesses working with remote employees in Alaska, productivity solutions such as Time Champ provide effective solutions for maintaining transparency, monitoring performance, and facilitating efficient collaboration across distances and time zones.
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Free SignupBook DemoFAQs
Depending on the type of work, the average salary in Alaska varies slightly. The average monthly salary for remote workers is approximately $5,850, while that of on-site workers is approximately $6,225. In the middle, hybrid positions pay about $6,100 a month. Depending on whom they serve and type of work, freelancers in Alaska typically make between $4,800 and $6,000 a month.
Yes! Alaska has no state income tax or state-level sales tax, which can make a big difference in take-home pay. Some local governments, however, could apply sales taxes of their own.
Alaska provides U.S.-based legal compliance, low-cost alternatives to major urban areas, and trained speciality expertise in disciplines like as logistics, healthcare, and environmental sciences. Time Champ and other tools can help you manage your outsourced workers more successfully.
Certain communities and industries in Alaska provide financial incentives and support for relocation to recruit experienced workers, mainly in education and public safety, as well as healthcare.
