Alaska minimum wage 2026
The minimum wage in Alaska is $14.00 an hour in 2026, rising to $15.00 on July 1, 2027. Alaska's rate is climbing in July steps set by voters in 2024 Ballot Measure 1, ahead of inflation indexing that starts after $15.00 in 2027. Tips never count toward the wage, so tipped employees receive the full state rate before tips.
Contents12 sections
At a glance
| Minimum wage now | $14.00 an hour, since July 1, 2026217 |
|---|---|
| Next change | $15.00 on July 1, 2027 (set in law)26 |
| Tipped employees | $14.00, the full minimum wage before tips28 |
| Overtime | 1.5 times the regular rate after 40 hours a week; after 8 hours a day97 · details |
| Full-time pay | $560 a week, $29,120 a year at 40 hours a week before taxes · calculate for your hours |
| Enforced by | Alaska Department of Labor and Workforce Development, Labor Standards and Safety Division, Wage and Hour Section, 907-269-4900 |
What to know about the Alaska minimum wage
Alaska voters have written the state's wage policy twice. A 2014 initiative tied the minimum wage to inflation, and Ballot Measure 1 in 2024 added a faster schedule.6 Under the 2024 measure the rate went from $11.91 on January 1, 2025 to $13.00 on July 1, 2025 and $14.00 on July 1, 2026, and it reaches $15.00 on July 1, 2027.6 From then on it follows 100% of the Urban Alaska consumer price index for the prior year, calculated each September 30 and rounded up to the nearest 10 cents, and it must stay at least $2 above the federal minimum.2 The index can stand still as well as rise: the rate stayed at $10.34 for 2022 because Anchorage prices fell in 2020.3
Several Alaska rules reach further than federal law. Tips cannot count toward the minimum wage, so a server is owed $14.00 an hour from July 1, 2026 before any tips.2 Salaried executive, administrative and professional staff are exempt only if paid at least twice the minimum wage for a 40-hour week, which is $1,120 a week at the $14.00 rate from July 1, 2026.2 Public school bus drivers must also earn twice the state minimum. Overtime is owed after 8 hours in a day as well as after 40 in a week, except at employers with fewer than four employees.7
The Wage and Hour Section of the Alaska Department of Labor and Workforce Development handles complaints and requires employers to display the Summary of Alaska Wage and Hour Act poster. The same 2024 ballot measure created paid sick leave, which employees began accruing on July 1, 2025.2
All 2026 rates
One hourly rate applies to almost every job. Public school bus drivers must be paid at least twice that rate, and approved apprentices, learners and staff at nonprofit residential summer camps may be paid less under specific rules.
| Rate | Applies to | Per hour |
|---|---|---|
| Standard minimum wage | Most employers$15.00 from July 1, 202726 | $14.00217 |
| Public school bus drivers | At least twice the state minimum wage. Contractors with school districts adjust the pay only when they enter or renew the contract (AS 23.10.065(b) and (c)). | See rule2 |
| Apprentices and learners | The Commissioner of Labor may authorize a lower wage for approved apprentices and learners (AS 23.10.070). | See rule2 |
| Nonprofit residential summer camp staff | For up to 12 weeks a year, with room and board provided, weekly pay of at least 80% of the minimum wage times 40 hours, or 50% of the minimum wage times all hours worked (AS 23.10.070(3)). | See rule2 |
Tipped employees
| Tip credit | Not allowed: tips are on top of the full minimum wage |
|---|---|
| Minimum cash wage | $14.00 an hour28 |
Alaska allows no tip credit (AS 23.10.065(a)): tipped employees must receive the full state minimum wage before tips.
Overtime and salaried staff
| Weekly overtime | After 40 hours in a workweek, at 1.5 times the regular rate97 |
|---|---|
| Daily overtime | After 8 hours in a workday |
| Exempt salary | $1,120 a week ($58,240 a year), rising to $62,400 a year on July 1, 20271011 |
Time and a half after 8 hours a day or 40 hours a week (AS 23.10.060). Employers with fewer than four employees are exempt, and a voluntary flexible work hour plan approved by the state can allow 10-hour days with daily overtime after 10 hours.
Two times the state minimum wage for the first 40 hours of each week (AS 23.10.055). It was $1,040 a week ($54,080 a year) from January 1 to June 30, 2026, and follows the minimum wage after each change.
Overtime at the minimum wage of $14.00 is $21.00 an hour. Salaried managers, administrators and professionals are exempt from overtime only if they meet the duties tests and are paid at least the exempt salary. See overtime rules in every state or calculate pay with overtime.
How the rate changes
Ballot Measure 1 fixed $13.00 on July 1, 2025, $14.00 on July 1, 2026 and $15.00 on July 1, 2027. After that the rate is adjusted every year by the full change in the Urban Alaska consumer price index for the previous calendar year, calculated by September 30 and rounded up to the nearest 10 cents, and it must stay at least $2 above the federal minimum.
The $15.00 step on July 1, 2027 is written into AS 23.10.065(a)(3) by the 2024 ballot measure, so no announcement is needed.
Indexed to inflation: yes. Fixed steps to $15.00 on July 1, 2027; afterwards adjusted each year by Anchorage CPI-U, rounded up to the nearest 10 cents.11
Rate history
| Effective | Status | Per hour |
|---|---|---|
| July 1, 2027 | Set in law Final ballot step | $15.0026 |
| July 1, 2026 | In effect now Ballot Measure 1 step | $14.00217 |
| July 1, 2025 | Ballot Measure 1 step | $13.0026 |
| January 1, 2025 | $11.916 | |
| January 1, 2024 | $11.735 | |
| January 1, 2023 | $10.854 | |
| January 1, 2022 | $10.343 |
Who is covered
Most private employers must pay the state rate. Exemptions in AS 23.10.055 include agriculture, domestic service, mineral prospecting, minors under 18 working part time up to 30 hours a week, and executive, administrative and professional employees paid at least twice the minimum wage for 40 hours ($1,120 a week from July 1, 2026). Employers covered by federal law must still pay those workers at least the federal $7.25, in force since July 24, 2009.
- Ballot Measure 1 (2024) also created paid sick leave, accruing from July 1, 2025 (AS 23.10.066 to 23.10.069).
- The rate stayed at $10.34 in 2022, unchanged from 2021, because the Anchorage consumer price index fell in 2020.
- Overtime is due after 8 hours in a day or 40 in a week; employers with fewer than four employees are exempt from the daily rule.
- Employers must post the Summary of Alaska Wage and Hour Act.
Cities and counties
No Alaska statute expressly bars cities or boroughs from setting a higher minimum wage, but none has done so.
Neighboring states
Alaska shares no land border with another state.
Compare every state on the ranked list and map.
Get help or file a claim
If you are paid less than the minimum wage that applies to your job, you can file a wage claim with the agency below. Federal law prohibits firing or otherwise retaliating against a worker for complaining about federal minimum wage rights.
| Agency | Alaska Department of Labor and Workforce Development, Labor Standards and Safety Division, Wage and Hour Section |
|---|---|
| Phone | 907-269-4900 |
| The law | AS 23.10.065 (minimum wages); AS 23.10.055 (exemptions); AS 23.10.070 (subminimum wages by regulation) |
| Federal | U.S. Department of Labor, Wage and Hour Division, 1-866-487-9243 |
Sources
- 1 Alaska DOLWD, Wage and Hour home page Checked Oct 9, 2026 · Back to text ↑
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- 9 Alaska State Legislature, AS 23.10.060 Payment for overtime Checked Oct 28, 2026 · Back to text ↑
- 10 Alaska State Legislature, AS 23.10.055 Exemptions Checked Oct 28, 2026 · Back to text ↑
- 11 Alaska State Legislature, AS 23.10.065 Minimum wages Checked Oct 28, 2026 · Back to text ↑
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