Marina
The Alaska Permanent Fund Dividend (PFD) is a unique program that distributes a portion of the state’s oil revenue directly to its residents.
In 2025, the approved PFD amount is $1,000 per eligible Alaskan, marking a decrease from previous years.
This article provides detailed information about the 2025 PFD, including its origin, payment schedule, eligibility criteria, and tax implications.
What Is the Alaska Permanent Fund Dividend?
Established in 1982, the PFD program was created to share the financial benefits of Alaska’s natural resources with its residents. The Alaska Permanent Fund, initiated in 1976, serves as a sovereign wealth fund that invests a portion of the state’s oil revenues.
Each year, the Department of Revenue (DOR) calculates the PFD amount based on the fund’s earnings over the past five years, adjusted for inflation and reserves. The goal is to provide a “citizens’ dividend” that reflects the state’s collective ownership of its natural resources.
2025 PFD Amount and Payment Schedule
In 2025, the Alaska Legislature approved a PFD of $1,000 per eligible resident, as announced by the Department of Revenue on September 22, 2025.
This amount is lower than the $1,312 distributed in 2023 and the $1,702 in 2024, which included an additional energy relief component.
The payment schedule for the 2025 PFD is as follows:
- October 2, 2025: Residents who applied electronically, selected direct deposit, and were classified as “Eligible Not Paid” before September 18, 2025, received their dividend.
- October 23, 2025: Residents who submitted paper applications or requested payment by physical check and were in “Eligible Not Paid” status by October 13, 2025, received their dividend.
- November 20, 2025: A final round of payments will be issued for applicants who were in “Eligible Not Paid” status as of November 12, 2025.
Eligibility Criteria
To qualify for the 2025 PFD, applicants must meet the following requirements:
- Residency: Must have been a resident of Alaska for the entire calendar year of 2024.
- Intent to Remain: Must intend to remain a resident of Alaska indefinitely.
- Absences: Must not have been absent from Alaska for more than 180 days in total during 2024.
- Physical Presence: Must have been physically present in Alaska for at least 72 consecutive hours during both 2023 and 2024.
- Legal Status: Must not have been convicted of a felony or incarcerated for a felony or certain misdemeanors during 2024.
Tax Implications
While Alaska does not impose a state income tax, the PFD is subject to federal taxation. The Internal Revenue Service (IRS) considers the PFD as taxable income, and recipients must report it on their federal tax returns. This includes dividends received on behalf of children or dependents.
The Alaska Permanent Fund Dividend remains a significant financial benefit for residents, reflecting the state’s commitment to sharing its natural resource wealth.
While the 2025 PFD amount is lower than in previous years, it continues to provide valuable support to eligible Alaskans. Residents are encouraged to ensure their application information is accurate and up to date to avoid delays in payment.
FAQs
How can I check the status of my PFD application?
You can check your application status by logging into your account on the myPFD portal.
Can I receive the PFD if I was absent from Alaska for more than 180 days?
Generally, extended absences may disqualify you from receiving the PFD. However, exceptions may apply under certain circumstances. It’s advisable to review the eligibility requirements on the official website or consult with the Department of Revenue for specific situations.
Is the PFD considered taxable income?
Yes, the PFD is considered taxable income by the IRS and must be reported on your federal tax return.