If you’ve heard people talk about a $1,702 stimulus payment in the US and are wondering who gets it and when—it’s not for everyone. This payment is part of a special program run only in Alaska. Let’s break it down in simple terms to help you understand what it is, who qualifies, and when it arrives.
What is the Alaska Permanent Fund Dividend (PFD)?
The $1,702 payment many people received in 2024 came from a program called the Alaska Permanent Fund Dividend (PFD). This program gives money to Alaska residents every year. The amount is not random—it comes from profits made through oil production in the state.
In 2024, eligible residents got $1,702, which was split into two parts: $1,403.83 as the main dividend and $297.17 as an energy relief payment. The fund was created in 1976 to share Alaska’s oil income with its people, both now and in the future.
How Much Will the PFD Be in 2025?
The final amount for 2025 has not been announced yet. It changes every year depending on oil revenue, the state budget, and special decisions by the Alaska government. For example, in 2020, the payment was only $992, while in 2022, it shot up to $3,284 due to a special relief bonus.
We’ll only know the exact 2025 amount once the Alaska Department of Revenue finishes its evaluations later in the year.
Who Can Get This Payment?
About 600,000 people received the PFD in 2024. But not everyone living in the US can apply. Here are the main rules:
You must live in Alaska—you need to have lived there for the entire previous year.
You must plan to stay in Alaska permanently.
You cannot be out of the state for more than 180 days, except for reasons like military service or full-time education.
You must not have a serious criminal record (no felony convictions in the base year).
Applications for the 2025 payment closed on March 31, 2025. If you missed the deadline, you won’t get the payment this year, even if you meet all the other rules.
When Will the Payment Be Made?
Usually, PFD payments are made in October every year. But the state does not announce the exact date until everything is finalized. So, if you applied on time and meet the requirements, keep an eye on updates from the Alaska Department of Revenue.
Is the Payment Tax-Free?
The money from the PFD is not taxed by the state of Alaska, because Alaska does not have a state income tax. However, the payment is considered income by the federal government, so you need to report it when you file your income tax return.
This is important because many people forget and then face issues during tax season.
Why Is This Program Important?
The PFD puts millions of dollars into the pockets of Alaskans each year, especially helping those in rural areas. It boosts local spending in shops, services, and other small businesses. The program not only helps people afford daily costs, especially during winter when heating is expensive, but also gives them a share of the state’s natural wealth.
The Alaska PFD is a unique example of how a state shares its natural resource earnings directly with its people. While not everyone in the US qualifies, it makes a big difference in the lives of Alaskans every year. If you live in Alaska and meet the requirements, this is one benefit you definitely want to stay updated on!
