In 2025, about 600,000 Americans are expected to receive a special stimulus payment, but this money isn’t for everyone. It’s only for people living in one specific state — Alaska — through a program known as the Permanent Fund Dividend (PFD). This is a long-standing initiative that shares part of the state’s oil profits with its residents.
If you live in Alaska or are curious about how the PFD works, here’s everything you need to know about the expected 2025 payment, who is eligible, how to apply, and what tax rules apply.
What Is the Alaska Permanent Fund Dividend (PFD)?
The PFD is a yearly payment given to qualified residents of Alaska. It is funded by profits earned from oil and gas royalties collected by the state. The program was created in 1976 to make sure that the wealth from Alaska’s natural resources benefits both current and future generations.
In simple terms, if you live in Alaska and meet certain conditions, the state gives you a share of its oil money once a year — and this amount changes depending on how much the state earns and other economic factors.
How Much Was the PFD Last Year?
In 2024, eligible Alaskans received a total of $1,702, which was made up of:
- $1,403.83 as a base payment
- $297.17 as an energy relief bonus
This was less than the $3,284 payment in 2022, which included extra relief due to inflation and fuel costs. Over the past few years, the PFD amount has gone up and down depending on oil revenues and the state’s budget.
In 2020, the payment dropped to just $992, the lowest in recent years.
What Can We Expect for 2025?
The final amount for the 2025 PFD has not yet been confirmed. The Alaska Department of Revenue is still reviewing earnings from oil profits and other economic factors. Like in previous years, the announcement and payments are expected to happen in October.
The payment amount will depend on how much money the state earned from oil during the previous year, along with other financial planning by the government.
Who Is Eligible for the PFD?
To receive the PFD in 2025, you must have applied by March 31, 2025. If you missed that deadline, you will not be able to get this year’s payment — even if you meet the other requirements.
Here are the basic conditions to qualify:
- You must have lived in Alaska for the entire previous calendar year.
- You must plan to stay in Alaska permanently.
- You cannot have been out of the state for more than 180 days, unless it was for military service, education, or other approved reasons.
- You must not have any felony convictions during the year used to check eligibility.
These rules are strictly checked by the Alaska Department of Revenue, which aims to keep the program fair and honest.
How and When Are Payments Sent?
The payments are usually made in October through direct deposit or mailed checks, depending on how you choose to receive them. All eligible applicants who filed before the deadline and passed verification will get their payments on the announced date.
Is the PFD Taxable?
Yes, the PFD is taxable at the federal level, which means you’ll need to report it on your income tax return. Even though Alaska does not charge a state income tax, the federal government still considers this payment part of your income.
This is especially important for families or individuals who also receive other benefits, as it could impact your total taxable income.