The “Alaska Dividend Fund”, properly known as the “Permanent Dividend Fund”, is an amount paid to every citizen of Alaska that has lived there a full calendar year (yes, even children!).
When did it start?
In 1969 the state of Alaska auctioned off the drilling rights on 164 tracts of
land at Prudhoe Bay. It was known there were large amounts of oil on the North Slope, and the rights to drill would go to the company making the highest bid. The selling of that state-owned land netted Alaska $900 million. Skip ahead a few years
to 1976 when the Alaska Dividend Fund was created with 25% of all money made from the oil on the North Slope placed in a permanent fund. In 1977 the first amount was deposited into the fund. Alaska allowed the fund to build for 5 years before distributing
the first dividend checks to residents in 1982.
The amount of each payment is based upon a five-year average of the Permanent Fund's performance and varies widely depending on the stock market and many other factors. The PFD is calculated by the following steps:
The Formula to Calculate the Dividend for Each Eligible Applicant:
ADD: statutory net income of the last five years from the Alaska Dividend Fund
MULTIPLY: by 21 percent
DIVIDE: by 2
SUBTRACT: prior year obligations, expenses and PFD program operations
DIVIDE: by number of eligible applicants
= AMOUNT OF DIVIDEND
Highs and Lows – Dividend Payouts
1984 - $331.29 (only the third year in)
2008 – $2,069.00
Don’t forget to file your application online to receive the fund. The deadline for submitting your application is March 31st
Imagine how you could put that money to good use on your current or future home!
Interested in learning more about the Alaska Dividend Fund? This is our favorite resource that provides presentations, quizzes and an overall guide to all your need to know about the fund: https://apfc.org/fund-education/