Alaska Employment Law — full calculator

Frequently Asked Questions

• Does Alaska require daily overtime pay?

  Yes. Alaska requires overtime pay at 1.5× your regular rate for any hours over 8 in a single workday, in addition to the standard federal requirement of 1.5× for hours over 40 in a workweek. This makes Alaska stricter than the federal FLSA, which only requires overtime after 40 hours per week. The daily overtime rule applies to employers with 4 or more employees (as of 2026, per AS 23.10.060).

• What is Alaska's final paycheck deadline if I am fired?

  If you are discharged or laid off, your employer must pay all wages owed within 3 working days of the date of termination. Weekends and holidays do not count toward the 3-day window. The federal FLSA sets no deadline, making Alaska's rule more protective (as of 2026, per AS 23.05.140).

• When must a final paycheck be issued when an employee resigns in Alaska?

  When an employee voluntarily quits or resigns, the employer must issue the final paycheck by the next regular payday that is at least 3 working days after the employee's last day worked. Again, weekends and state holidays are excluded from the count.

• What penalties apply if an Alaska employer pays the final paycheck late?

  If an employer fails to pay wages on time after termination, AND the employee makes a written demand for the unpaid wages, the employer owes 1 additional day's wages for each day the payment remains late — up to a maximum of 90 days (i.e., up to 90 days' wages as penalty). The penalty clock starts from the date of the written demand, not the termination date.

• What is Alaska's minimum wage in 2026?

  Alaska's minimum wage is $13.00 per hour from July 1, 2025, and rises to $14.00 per hour effective July 1, 2026. Both rates are well above the federal FLSA floor of $7.25 per hour. The rate is set under Alaska Ballot Measure 1 (2024), which also introduced annual indexing going forward.

• Can Alaska employers pay tipped workers less than minimum wage?

  No. Alaska prohibits tip credits entirely. Under AS 23.10.065(a), tipped employees must receive the full state minimum wage ($13.00/hr before July 1, 2026; $14.00/hr on or after July 1, 2026) before any tips are counted. This is unlike the federal FLSA, which allows a tipped minimum wage as low as $2.13/hr.

• Does Alaska have a paid sick leave law?

  Yes. Alaska Ballot Measure 1, effective July 1, 2025, requires all employers to provide paid sick leave. Employees accrue 1 hour of sick leave for every 30 hours worked. The annual cap is 40 hours per year for employers with fewer than 15 full-time equivalent employees, and 56 hours per year for employers with 15 or more FTE. There is no equivalent federal mandate under the FLSA.

• Do Alaska employers have to provide meal or rest breaks?

  Alaska law requires meal breaks only for minor workers aged 14–17: they must receive at least a 30-minute unpaid break for any shift lasting 5 or more consecutive hours. Adult workers (18+) have no state-mandated break entitlement, following the FLSA's silence on breaks. However, if an employer voluntarily provides a break of less than 20 minutes, it must be paid.

• Are non-compete agreements enforceable in Alaska?

  Non-compete agreements may be enforceable in Alaska if they are reasonable in scope, duration, and geographic area, and if the employee received something of value (consideration) in exchange. Alaska courts apply a common-law reasonableness standard and may 'blue-pencil' (modify) an overbroad agreement rather than voiding it entirely. Alaska has not enacted a statutory ban or salary threshold cap like some other states.

• What is the Alaska overtime salary-exempt threshold in 2026?

  Under Alaska law, an employee must be paid at least two times the state minimum wage for a 40-hour workweek to qualify as salary-exempt (i.e., not eligible for overtime). Before July 1, 2026, this is 2 × $13.00 × 40 = $1,040 per week. On or after July 1, 2026, when the minimum wage rises to $14.00/hr, the threshold increases to 2 × $14.00 × 40 = $1,120 per week.