Business · Alaska

Payroll Cost per Employee in Alaska

2026 estimates — total employer cost including taxes and benefits

$79,750
Avg salary (AK)
$101,226
Total employer cost/yr

Min wage in Alaska: $7.25–$15.00/hr (check current state rate) | SUTA: ~3.6% on wages (varies)

Calculate Total Payroll Cost in Alaska

Payroll Tax Breakdown — Alaska 2026

Tax / Cost Rate / Rule Annual Amount
Base salary Per agreement $79,750
Social Security (employer) 6.2% on first $168,600 $4,945
Medicare (employer) 1.45% of all wages $1,156
FUTA (federal unemployment) 0.6% on first $7,000 $42
Alaska SUTA ~3.6% on wages (varies) $600
Benefits (health, 401k, etc) ~18% of salary (typical) $14,355
Total Employer Cost $101,226

Based on $79,750 median salary in Alaska. SUTA rate shown is approximate average — actual rate depends on claims history. Additional: State-specific payroll taxes — verify with your state labor department.

Payroll Requirements in Alaska

1. Alaska Payroll Tax & Compliance Overview

Alaska payroll costs are above the national average. Key employer requirements: state income tax withholding (4–10%), state unemployment insurance (SUTA: ~3.6% on wages (varies)), plus the standard federal obligations (FICA 7.65%, FUTA up to $420/employee). State-specific payroll taxes — verify with your state labor department.

2. Top Tips for Alaska Employers

Alaska employers: use payroll software like Gusto, QuickBooks Payroll, or Rippling to automate state-specific tax calculations. These typically cost $40–$150/month for small businesses — far less than the penalty risk of manual payroll errors. Set up pay-as-you-go workers' comp tied to each payroll run to eliminate audit surprises.

3. Key Alaska Payroll Facts

  • Minimum wage: $7.25–$15.00/hr (check current state rate)
  • State income tax: 4–10%
  • State unemployment (SUTA): ~3.6% on wages (varies)
  • Additional: State-specific payroll taxes — verify with your state labor department

Run Alaska Payroll Automatically

Automated payroll software handles Alaska tax calculations, filings, and W-2s for $40–$150/month.