Based on current estimated costs, Alaska's minimum wage would need to be above $18.08 per hour to be a living wage in Anchorage.
This chart shows the change in Alaska’s minimum wage and the estimated living wage in Anchorage between 2012 and 2023. Data for the living wage is drawn from the MIT Living Wage Calculator, annual rental estimates published by the Alaska Department of Labor, and is based on 12% tax withholding. announced Friday
Taking into account 12% withheld for taxes, someone earning minimum wage would have to work 35 hours per week in a four-week month to cover the cost of housing.identifies $1,554 in other costs per month, including food, transportation and other expenses. That figure is based on estimates from various federal sources.
Altogether, estimates indicate someone earning minimum wage would have to work 71 hours per week to meet their basic needs in Anchorage. A living wage is defined as the minimum amount needed to pay for basic needs while working a standard 40-hour workweek. In all of Alaska’s cities and boroughs, the minimum wage is significantly below the living wage amount.