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Income Tax Calculator for Anchorage, AK
Local data pre-filled
The median household income in Anchorage, AK is $95,918. Alaska income tax rates, combined with federal brackets, determine your total tax burden. Use this calculator to estimate your effective tax rate in Anchorage.
✓ Calculator below is pre-filled with Anchorage local data
Data as of · Sources: Zillow, Census ACS, Tax Foundation, Freddie Mac
Alaska Financial Snapshot (2026) — Income Tax Calculator
Bracket stack and standard deduction are the primary inputs for the income tax calculator in Alaska.
How the Income Tax Calculator Math Works Under Alaska Law
Your Alaska income tax calculator stacks federal and state income tax onto FICA (Social Security 6.2% + Medicare 1.45%). Alaska is one of the handful of US states with no personal income tax — your liability on the state side is $0 regardless of income[1].
Local context: Anchorage, AK
Housing economics in Anchorage, AK. The median home value runs 15.8% above the U.S. baseline for Anchorage, AK is $414,591 per Zillow's home-value index. Median rent runs $1,713 a month per Zillow ZORI, cheaper than the national $1,850 baseline. Effective property tax sits at 1.20% of assessed value, meaningfully higher than the 0.99% national average tracked by the Tax Foundation.
Income and tax climate. Alaska's top marginal state income tax bracket lands at 0.00% — one of nine states that levies no broad-based income tax, shifting the revenue burden onto sales, property, and severance levies. BEA's Regional Price Parity scores Anchorage, AK at 133.0 (national = 100), meaning a dollar in Anchorage, AK buys 75¢ of national purchasing power.
Local context as of 2026-04-19.
Anchorage versus the U.S. baseline
| Metric | Anchorage, AK | U.S. baseline | Difference |
|---|---|---|---|
| Median home value[zillow] | $414,591 | $358,000 | 15.8% |
| Median monthly rent[zillow] | $1,713 | $1,850 | -7.4% |
| Property tax (effective)[tax-foundation] | 1.20% | 0.99% | 21.2% |
| State top marginal income tax[tax-foundation] | None | ~4.08% (volume-weighted) | −4.08 pp |
| State cost-of-living index[bea-rpp] | 133.0 | 100.0 | 33.0 pts |
How to use the Income Tax Calculator
Walk through using the Income Tax Calculator with Anchorage, AK-specific defaults pre-loaded from primary sources.
- Enter your Anchorage numbersFill in the income tax inputs. Defaults reflect Anchorage, AK 2026: median home $414,591, median rent $1,713/mo, 1.20% effective property tax.
- Apply the local 2026 inputsThe median home value in Anchorage is $414,591 (Zillow ZHVI), with median monthly rent running $1,713/mo.
- Compare against Anchorage contextMonthly PITI on the $414,591 median home in Anchorage is ~$2,839/mo — vs a $1,713/mo median rent.
What Changes Your Result in Alaska
- No state income tax:Alaska is on the short list of states with no personal income tax. That does NOT mean no state taxes — sales, property, and excise taxes make up the gap. Check the neighbor comparison for the full carrying-cost picture.
Related Calculations for Alaska
- how paycheck works for Alaska residents — paycheck withholding reflects income tax.
- Alaska Tax Bracket Calculator — brackets drive the marginal rate.
- how capital gains tax works for Alaska residents — capital gains can stack into taxable income.
- Alaska self-employed tax numbers for 2026 — SE tax is the other piece of a contractor bill.
How Anchorage Compares to the National Average
Understanding how Anchorage stacks up helps you calibrate your financial planning.
| Metric | Anchorage, AK | US Average | Difference |
|---|---|---|---|
| Median Home Price | $414,591 | $420,800 | -1.5% |
| Median Monthly Rent | $1,713 | $1,713 | +0.0% |
| Median Household Income | $95,918 | $74,580 | +28.6% |
| Property Tax Rate | 1.20% | 1.10% | +9.1% |
| Cost of Living Index | 133 | 100 | +33.0% |
Sources: U.S. Census Bureau, BLS, Zillow, NAR (2024–2025). Green = favorable for residents; red = less favorable.
Anchorage Financial Snapshot
- Population (Metro)
- 400,000
- Unemployment
- 4.5%
- Avg Commute
- 19 min
- Median Age
- 34.8
- Price-to-Rent Ratio
- 20.2x
- Annual Property Tax
- $4,975
Frequently Asked Questions — Anchorage
- Can median-income households afford the median home in Anchorage?
- With a ~$2,839 monthly PITI and $95,918 median income, housing would consume ~35.5% of gross annual income. Qualifying under the 28% DTI rule requires ~$121,671 in annual income. Educational reference only.
- Is it better to rent or buy in Anchorage?
- Anchorage's price-to-rent ratio (20.2x) tilts toward renting — above 20x, buying is generally expensive relative to renting.
- What is the annual property tax bill on the median home in Anchorage?
- Approximately $4,975/yr at the 1.20% effective rate on the $414,591 median home. The national average effective rate is 1.07%.
- What share of median income goes to rent in Anchorage?
- The $1,713/mo median rent represents 21.4% of the $95,918 median household income. The recommended housing cost threshold is 30%; Anchorage falls within that guideline. Educational reference only.
- How much does commuting cost in Anchorage?
- Average commute time in Anchorage is 19 minutes per ACS. Estimated annual commute cost runs about $3,310. Educational reference only.
- How does the cost of living in Anchorage compare to the national average?
- Anchorage's BEA RPP index is 133, 33% above the national baseline of 100. For a household earning the national median income of $77,540, this translates to ~$25,588/yr in purchasing power difference. Educational reference only.
- What is the median home price in Anchorage, AK?
- The median home price in Anchorage is $414,591 as of 2025–2026.
- What is the average rent in Anchorage?
- The median monthly rent in Anchorage, AK is $1,713.
- Does the income tax replace professional advice?
- No. This calculator gives educational estimates using public Anchorage data and standard formulas. It is not personalized tax, legal, or investment advice. Consult a licensed professional for decisions with material consequences.
Alaska State Context
Alaska Real Estate Tips
Alaska has no state income tax AND no state sales tax — more of your income is available for mortgage payments than in most states.
The Alaska Housing Finance Corporation (AHFC) offers first-time buyer programs with down payment assistance and below-market rates.
Remote locations can make home inspections, appraisals, and contractor work significantly more expensive — budget 20-30% above Lower 48 estimates.
Many Alaska homes require specialized construction for permafrost, extreme cold, and seismic activity — these factors affect insurance and maintenance costs.
Alaska Homebuyer Programs
- ✓AHFC First-Time Homebuyer Program — below-market interest rates for qualifying buyers.
- ✓AHFC Tax-Exempt First-Time Homebuyer Program — reduced rates funded by tax-exempt bonds.
- ✓AHFC Home Choice Program — assistance for buyers with disabilities.
Statewide Alaska figures apply broadly across Anchorage. County- and city-level variation can be significant — verify against local sources before closing a transaction. [3]
How we compute this — methodology
The Anchorage page uses local median home price ($414,591), median rent ($1,713/mo), and property tax rate (1.20%) alongside the calculator's client-side formula. Calculations run in your browser — no inputs are sent to a server.
Known limits: ZIP-level variance within Anchorage can be substantial — the figures shown are city-wide medians. For a precise property tax quote, consult your county assessor.
Sources
- Zillow Research — ZHVI (Zillow Home Value Index) + ZORI (Zillow Observed Rent Index), city-level. zillow.com/research/data. Retrieved 2026-04-19.
- U.S. Census Bureau — American Community Survey (ACS) 5-year estimates for median household income and population. census.gov/programs-surveys/acs.
- CalcFi state financial context — tips + first-time homebuyer programs compiled from each state's Housing Finance Authority (HFA) public pages. See
src/data/state-financial-context.ts. - Tax Foundation — state property tax effective rates and state/local sales tax rates. taxfoundation.org.
- Freddie Mac Primary Mortgage Market Survey (PMMS) — weekly national mortgage rate averages used by mortgage-related calculators. freddiemac.com/pmms.
- State Departments of Revenue — official bracket + deduction publications (one primary URL per state; linked in the brackets table below) — taxfoundation.org/data/all/state/state-income-tax-rates. Retrieved 2026-04-19.
- Internal Revenue Service — federal individual income tax brackets and standard deductions — www.irs.gov/forms-pubs/about-publication-17. Retrieved 2026-04-19.
- Social Security Administration — OASDI / Medicare benefit + contribution rules — www.ssa.gov. Retrieved 2026-04-19.
- BLS Occupational Employment and Wage Statistics (OEWS) — state-level occupational wages — www.bls.gov/oes. Retrieved 2026-04-19.
- Freddie Mac Primary Mortgage Market Survey (PMMS) — weekly national mortgage rates — www.freddiemac.com/pmms. Retrieved 2026-04-19.
- NAIC Dwelling Fire, Homeowners Owners, and Homeowners Tenants Insurance Report — content.naic.org/article/homeowners-insurance-report. Retrieved 2026-04-19.
- Bureau of Economic Analysis — Regional Price Parities by State — www.bea.gov/data/prices-inflation/regional-price-parities-state-and-metro-area. Retrieved 2026-04-19.
- U.S. Department of Labor — State Minimum Wage Laws — www.dol.gov/agencies/whd/minimum-wage/state. Retrieved 2026-04-19.
- FRED (Federal Reserve Economic Data) — real median household income, unemployment, HPI, LFPR per state — fred.stlouisfed.org. Retrieved 2026-04-19.
Spot an error? Email [email protected] with the URL and the correct figure.
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National reference: Income Tax Calculator Calculator