Every year, eligible residents of Alaska receive a special payment known as the Permanent Fund Dividend (PFD). This program, funded by the state’s oil revenues, is a unique model of basic income in the U.S., and in 2025, residents received $1,702 each through this scheme. The payment not only supports families but also boosts Alaska’s economy in a big way.
Let’s explore who is eligible for the payment, when the money is sent, and whether this program will continue in future years.
What Is the Alaska Permanent Fund Dividend (PFD)?
The Alaska Permanent Fund was set up in 1976 after oil was discovered in Prudhoe Bay. The idea was to save some of the oil money for future generations. The Permanent Fund Dividend (PFD) began in 1982, giving a yearly cash payment to people who live in Alaska full-time.
The fund is managed by the Alaska Permanent Fund Corporation (APFC), which invests the money to generate income. The total value of the fund was $83 billion in 2024. Every year, around 50% of the fund’s earnings are used to give out the PFD payments.
How Much Was the PFD in 2025?
In 2025, the payment given out was $1,702 per person. This amount included a special energy relief bonus, added to help residents cope with high fuel and utility costs.
In 2024, this program helped more than 600,000 people, and it injected over $914 million into Alaska’s economy. It’s especially important for rural communities and Indigenous populations, many of whom rely on it for essential needs.
How to Qualify for the $1,702 PFD Stimulus Check
To receive the PFD, you must meet some strict rules. Here’s what you need:
You must:
- Have lived in Alaska for the full year before applying
- Plan to continue living in Alaska
- Be absent from the state for no more than 180 days (exceptions are made for military, students, or medical patients)
- Not have any serious criminal convictions
- File your application before March 31, 2025
If you’re applying for a child, a resident sponsor must file on their behalf.
How and When Will the Payments Be Made?
Applications for the 2025 PFD closed on March 31. If you applied on time and were approved:
Direct deposit payments will start on October 3, 2025
Paper checks will be mailed from October 26, 2025
Make sure your Social Security information is correct, or you could face delays and a 24% withholding tax.
Beware of fraud—there have been scam messages pretending to be from the myAlaska system. Always use official channels to track your application.
Is the PFD Taxable?
Yes, the PFD is taxable at the federal level. You’ll need to report it on IRS Form 1040, Schedule 1. Even the energy bonus added to the 2025 payment is taxable. If you have kids receiving the PFD, it’s best to talk to a tax expert to avoid mistakes.
Will the PFD Continue in Future?
The future of the PFD is under debate. Some politicians want to increase the amount, while others prefer to use the money for public services like education and healthcare.
In 2021, Alaska’s Supreme Court said lawmakers have the power to adjust the amount. Some experts say the payments might drop to around $1,200 by 2030 unless the system is reformed.
Still, the PFD remains very popular, with 75% approval in 2024 surveys. It’s a key support system for many Alaskans, especially during times of economic uncertainty.
The $1,702 PFD payment in 2025 gives real financial help to Alaskans who meet the residency and legal requirements. While the amount may change from year to year based on oil profits and political decisions, the program has stayed strong since the 1980s.
If you live in Alaska, meet the criteria, and apply on time, you could benefit from this valuable annual stimulus. The PFD also serves as a model for how natural resource wealth can be shared directly with the people.
