In 2025, eligible Alaskans will receive a $1,702 payment through the Alaska Permanent Fund Dividend (PFD) program, providing a much-needed financial boost. This one-time stimulus check, designed to help residents deal with rising living costs, is especially important for those in rural and remote areas of the state.
This article will explain everything you need to know about the PFD, from eligibility and application details to payment dates and how to make the most of your PFD.
What is the $1,702 Stimulus and Where Does It Come From?
The $1,702 stimulus check is not part of any federal relief effort, but rather a direct payment from the Alaska Permanent Fund. This fund is supported by revenues from the state’s oil and mineral leases, and it has been providing annual dividends to Alaska residents for decades.
In 2025, the payment consists of two parts:
$1,403.83 as the base PFD (Permanent Fund Dividend).
$298.17 as an energy relief payment, helping Alaskans with the high cost of energy.
This year’s payment offers significant relief, particularly in areas where fuel and grocery prices are high.
Who is Eligible for the 2025 PFD?
To receive the $1,702 payment in 2025, you must meet the following eligibility criteria set by the Alaska Department of Revenue:
Residency: Must have been a resident of Alaska for all of 2024 and intend to remain a resident indefinitely.
Physical Presence: You must have been physically present in Alaska for at least 72 consecutive hours during either 2023 or 2024.
Absence Exceptions: You can be absent for up to 180 days if you were attending college, serving in the U.S. military, receiving medical treatment, or accompanying a spouse or dependent in one of these situations.
Legal Issues: You must not have been convicted of certain crimes or incarcerated during the qualifying year (2024).
If you meet these criteria, you are eligible for the 2025 PFD.
When Will the Payments Be Made?
The PFD payments will be distributed in waves throughout 2025, based on the application processing status. Here’s the payment schedule:
March 20, 2025: For early applicants approved by March 12.
April 17, 2025: For applications approved by April 9.
May 15, 2025: For applications approved by May 7.
Payments will be issued either through direct deposit or paper checks sent by mail. It is highly recommended to use direct deposit to avoid delays.
How to Apply for the $1,702 Stimulus Check in 2025?
Applying for the PFD is simple and free. Follow these steps to apply:
- Visit the Official Website: Go to pfd.alaska.gov.
- Create or Log Into Your myAlaska Account.
- Complete the Online Application: Fill out the required form and submit any necessary documents (such as proof of residency or unique circumstances).
- Select Payment Method: Choose between direct deposit or paper check. Direct deposit is recommended for quicker processing.
If you are applying for a child or dependent, a parent or legal guardian must complete the application and submit supporting documents.
What If You Missed the Application Deadline?
The deadline for applying for the 2025 PFD is March 31, 2025. Unfortunately, late applications are not accepted unless under certain hardship exceptions. If you miss the deadline, you will need to wait until the next application cycle starting January 1, 2026.
Understanding the Tax Implications
Although the PFD is a state benefit, it is taxable at the federal level. You will need to report it as income on your federal tax return. If you receive the PFD, you will get a Form 1099-MISC to report the payment. However, the payment is not taxed by the state of Alaska.
Comparing the PFD to Federal Stimulus Checks
The Alaska PFD differs from federal stimulus checks issued during the COVID-19 pandemic in several ways:
| Feature | Alaska PFD | Federal Stimulus |
|---|---|---|
| Source | State oil revenues | U.S. federal government |
| Frequency | Annual | One-time or periodic |
| Eligibility | Alaska residency & legal requirements | Based on income & household status |
| Taxability | Taxable | Usually non-taxable |
While both are financial relief programs, the PFD is an annual distribution to Alaska residents, while federal stimulus checks were aimed at broader, temporary relief during the pandemic.
Practical Advice for Recipients
The $1,702 payment is an opportunity to make smart financial decisions. Here are some tips for making the most of your PFD:
Pay off High-Interest Debt: Use the payment to pay off credit cards, payday loans, or other high-interest debts.
Start an Emergency Fund: If you don’t already have one, this is a great time to build up your savings for unexpected expenses.
Invest in Energy Efficiency: In cold regions, consider purchasing energy-efficient appliances or insulating your home to save money on heating costs.
Invest in Education: Use the funds to pay for educational courses, certifications, or training programs to improve your job prospects.
Save for Retirement: If you are self-employed or don’t have access to a pension plan, consider saving the money for retirement.
A simple budgeting strategy could be: 50% for needs, 30% for wants, and 20% for savings.
How the PFD Impacts Alaska’s Economy
The PFD is not just a personal benefit—it is also a key component of Alaska’s economy. Every year, the distribution of these funds injects hundreds of millions of dollars into the local economy.
In rural and remote communities, the PFD is often a crucial support for paying for heating oil, food, and other necessities.
The dividend has sparked debates about whether the funds should be used more for public services like education and infrastructure, but it remains a vital part of the state’s economy and a way to share the wealth generated by the state’s natural resources.
