Alaska Payroll Tax And Labor Laws

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Click Here to Obtain State Unemployment Tax ID

Did you know that state taxes are not deducted from Alaskan employees’ paychecks? That gratuities and tips aren’t counted toward Alaska’s minimum wage?

Alaska Wage and Hour Laws

Employees who are covered by Alaska’s minimum wage statute must be paid at least 50 cents per hour higher than the federal minimum wage. Tips are not counted as part of the minimum wage.

Alaska Payroll for Employers

Companies in Alaska must pay salaries at least monthly; however, unless the initial contract mandated monthly pay periods, employers must pay semi-monthly if employees want it.

Alaska Unemployment:

Taxable Wage Base ($000)                            43,600

New Employer Rate (% Taxable Wages)     2.07

(Alaska has an employee contribution
rate of 0.50% that is not included in this rate)

Employee Tax Rate (% Taxable Wages)       0.50

Alaska Income Tax Withholding

Because Alaska currently does not have an individual income tax, no state income tax withholding is needed from employees.

Alaska levies a corporate net income tax based on federal taxable income with certain Alaska adjustments. Multi-state corporations apportion income on water’s edge basis using the standard apportionment formula of property, payroll, and sales.

Alaska Benefits

Alaska Voting Rights:

Employer Right to Schedule Voting Hours       Not Specified

Pay Deduction for Voting Time Leave              Prohibited