Residents of Alaska are able to apply for new stimulus payments, officially known as the Permanent Fund Dividend (PFD). This annual distribution, financed by the state’s oil revenues, provides financial assistance to qualifying Alaskans. If you live in Alaska, now is the time to get your application in before the March deadline.
However, the final amount for this year’s payment remains unconfirmed. Here’s what you should know.
Payout
Governor Mike Dunleavy has suggested that each resident could receive approximately $3,900. However, this figure is contingent upon legislative approval and considerations within the state budget.
To achieve this payout, the state would need to draw more than $1.5 billion from the Constitutional Budget Reserve, an essential non-permanent savings fund.
If state lawmakers adopt the latest funding formula, which allocates 25% of the state’s annual draw from the Alaska Permanent Fund, the PFD could amount to around $1,400 instead.
Fund
Established in 1976, the Alaska Permanent Fund Dividend (PFD) was created to share oil revenues with residents. The amount varies each year based on oil profits, state investments, and economic conditions.
Over the years, PFD amounts have fluctuated significantly. In 2022, Alaskans received a PFD of $3,284, compared to the much lower 2023 payment of $1,312. The 2024 PFD was set at $1,702, and for 2025, estimates suggest a range from $1,702 to $3,900, dependent on state budget decisions.
Economy
PFD stimulus checks are crucial for Alaska’s economy, with many residents using their payments for daily necessities such as rent, mortgage payments, energy bills, and groceries. Others may allocate these funds towards medical expenses, tuition, or school supplies.
Some Alaskans opt to save part of their PFD for future financial stability. Nevertheless, discussions continue on whether residents should receive larger payments or if some oil revenues should be reallocated to essential services like education and healthcare. Lawmakers are also evaluating the long-term viability of these distributions.
Eligibility
To qualify for the 2025 PFD stimulus payment, you must be a resident of Alaska for all of 2024. Absences from the state exceeding 180 days will disqualify you unless the reason is approved, such as military service, education, or medical treatment.
Applicants must also have no felony convictions within the past year. These guidelines help ensure that the PFD supports long-term residents who positively contribute to the state’s economy and community.
PFD applications opened on January 1, 2025, and will close on March 31, 2025. Late applications will not be accepted, so it is crucial to submit your application before the deadline.
Payment
Approved applicants will receive their PFD stimulus checks in October 2025. Payments will be directly deposited into bank accounts for those who selected direct deposit, while others will get physical checks via mail.
It’s essential to understand that the IRS views PFD payments as taxable income, so recipients should prepare to report their payout when filing their taxes.
The PFD continues to be an important financial lifeline for Alaskans, and this year’s payments could offer significant assistance. If you qualify, make sure to apply before the deadline.
FAQs
How much is the 2025 PFD?
The estimated amount ranges from $1,702 to $3,900.
When is the PFD application deadline?
The deadline to apply is March 31, 2025.
When will PFD payments be issued?
Payments are expected to be deposited by October 2025.
Are PFD payments taxable?
Yes, the IRS classifies PFD payments as taxable income.
Who is eligible for the PFD?
Alaska residents who lived in the state for all of 2024 and meet other criteria.
