The Alaska residents are getting the golden opportunity to apply for the new stimulus payment, going by the title of the Permanent Fund Dividend (PFD). It is the money distributed to eligible residents each year derived from the oil revenue of the state of Alaska. As a resident, all you need to do is apply before the deadline in March.
Still, the amount is yet to be set for this year’s payment. So, let’s break it down properly as to how it all works and what you need to know.
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Payment Info
$3,900 estimated payment for each recipient is suggested by Alaska Governor Mike Dunleavy; however, it would be contingent upon legislative approval and state budget considerations.
To fund that payment, the state would need to take more than $1.5 billion from the “Constitutional Budget Reserve”, a non-permanent savings fund.
If the lawmakers’ newly enacted expenditure plan of setting aside 25% of annual withdrawals from the Alaska Permanent Fund is adopted, the PFD amount could be around $1,400.
What is the Permanent Fund?
The Alaska Permanent Fund Dividend (PFD) was established in 1976 to distribute a portion of the state’s oil revenues to residents. Its payment changes each year based on oil profits, state investments and economic conditions.
Past PFD amounts in previous years:
- In 2022, Alaska residents received a payment of $3,284.
- That went down to $1,312 in 2023.
- In 2024, it was at $1,702.
- Estimated amounts for 2025 could range from $1,702 to $3,900, depending on state budget decisions.
The Economic Impact of PFD
The PFD stimulus check plays a vital role for the Alaska State Economy. It aids the citizens to meet their daily need ranging from rent, home EMIs, electricity bills to groceries.
Some people use it for medical bills, tuition fees, or other school needs.
At the same time, some residents save this for future purchases. On the other hand, there is also a debate on whether the residents should really be given this amount or some share of oil revenue should perhaps be utilized for important services like those in health and education.
The legislators even contemplate whether or not such a payment could survive in the long term.
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Eligibility Criteria
If you wish to apply for the 2025 PFD stimulus check, you must remain a resident of Alaska for the whole of 2024.
Also, a person that has been out of the state for more than 180 days will be eligible for such leave is on an approved basis like military service, education, or medical treatment.
One must not have committed any crime (felony) in the past one year. These criteria are there to ensure that the PFD is being awarded to those residents who have contributed to the economy and community of the state.
How to Apply?
PFD Application Process:
Application Starts: Applications for PFD have started on January 1, 2025.
Last Date: Applications will be accepted till March 31, 2025.
Modes of Application:
- Apply online.
- Apply via phone.
- Apply in person at the local PFD office.
Documents Required:
- Income Certificate
- Residence Certificate
- Family Members Information
- Expense Details
Interview Process: Most applicants will need to complete an interview with a PFD official either over the phone or in person.
Payment Process
- If your application is approved, PFD stimulus checks will be distributed in October 2025.
- Applicants who have selected direct deposit will have the funds deposited into their bank account.
- On the other hand, people who selected physical checks (paper checks) will receive checks via mail.
Tax Information
PFD payments are taxable income according to the IRS. Recipients must declare the same amount while filing tax returns.
Conclusion
PFD continues to be a vital financial aid source for Alaska residents. This annual payment helps cover basic expenses for many families.
In 2025, the amount of the PFD could range from $1,702 to $3,900, but this will depend on state budget decisions. If you are eligible, you should apply before the March 31, 2025 deadline so you can take advantage of this important financial assistance.