Overtime Laws in Alaska 2026: Pay Rates, Exemptions & Tax Deduction (2026)
⚠️Informational only — not legal or tax advice.
Guide for Alaska overtime laws 2026
Last verified: March 3, 2026
Next scheduled review: June 3, 2026
Table of Contents
- Alaska Overtime Laws at a Glance (2026)
- Does Alaska Have Its Own Overtime Law?
- How Overtime Pay Is Calculated in Alaska
- Who Is Exempt from Overtime in Alaska?
- Overtime Tax Deduction: “No Tax on Overtime” (2025–2028)
- Can an Employer Require Overtime in Alaska?
- Industry-Specific Overtime Rules in Alaska
- How to File an Overtime Wage Complaint in Alaska
- Penalties for Overtime Violations in Alaska
- Alaska Overtime Law Updates (2025–2026)
- Frequently Asked Questions
- Sources and Verification
Alaska Overtime Laws at a Glance (2026)
| Alaska Overtime Law Overview (2026) | |
|---|---|
| Item | Details |
| Overtime threshold | 40 hours/workweek AND 8 hours/workday |
| Overtime pay rate | 1.5× regular rate of pay |
| Double time | No state double-time requirement |
| State minimum wage (2026) | $14.00/hour (effective July 1, 2026) |
| Exempt salary threshold (2026) | State: $1,120/week ($58,240/year) effective July 1, 2026 |
| Daily overtime | Yes — after 8 hours in a workday |
| Weekly overtime | Yes — after 40 hours in a workweek |
| Minimum employer size for OT | 4 or more employees |
| State enforcement agency | Alaska Dept. of Labor and Workforce Development, Wage and Hour Division |
| Federal enforcement | U.S. DOL Wage and Hour Division |
| Overtime tax deduction (federal) | Up to $12,500/yr (2025–2028) — FLSA-covered workers |
| Statute of limitations | 2 years (state); 2 years FLSA (3 if willful) |
Governing law: Alaska Statute (AS) 23.10.060; Fair Labor Standards Act, 29 U.S.C. § 207 Last verified: March 3, 2026
Does Alaska Have Its Own Overtime Law?
Alaska has its own overtime law under Alaska Statute (AS) 23.10.060, which provides significantly broader protections than the federal Fair Labor Standards Act (FLSA).
When Alaska law and federal FLSA rules differ, the standard that is more favorable to the employee applies. Because Alaska requires overtime after 8 hours in a single workday — in addition to the federal 40-hour weekly threshold — Alaska law is generally more protective for covered employees.
Key differences between Alaska and federal overtime law:
- Daily overtime: Alaska requires overtime pay after 8 hours worked in a single workday. The FLSA only requires overtime after 40 hours in a workweek. In Alaska, both thresholds apply independently — an employee who works a 9-hour day is entitled to 1 hour of overtime for that day, even if total weekly hours remain under 40.
- Higher exempt salary threshold: Alaska requires employees to earn at least 2× the state minimum wage for a 40-hour workweek to qualify for executive, administrative, or professional exemption. Effective July 1, 2026, that equals $1,120/week ($58,240/year) — substantially higher than the federal threshold of $684/week ($35,568/year).
- Employer size requirement: Alaska’s overtime requirements apply only to employers with 4 or more employees in the regular course of business. The FLSA covers most employers engaged in interstate commerce regardless of size (though small employers may fall under FLSA if they meet the annual gross sales threshold of $500,000 or engage in interstate commerce).
- No fluctuating workweek: Alaska prohibits the use of the fluctuating-workweek method (also called “half-time” or “Chinese overtime”) to calculate overtime. Under 8 AAC § 15.100(d)(3), a fixed salary covering fluctuating hours is not a lawful method of overtime compliance under Alaska law.
State statute: Alaska Statute 23.10.050–23.10.150 — https://labor.alaska.gov/lss/whact.htm Federal statute: Fair Labor Standards Act, 29 U.S.C. § 207 — https://www.dol.gov/agencies/whd/overtime
How Overtime Pay Is Calculated in Alaska
What Is a “Workweek”?
Under the FLSA, a workweek is a fixed, regularly recurring period of 168 consecutive hours (seven consecutive 24-hour periods). A workweek does not have to start on Monday or align with a calendar week — the employer may designate any day and time as the start of the workweek.
Each workweek stands alone. An employer cannot average hours across two or more workweeks to avoid overtime. If an employee works 50 hours in one week and 30 the next, overtime is owed for the first week regardless of the second.
Source: 29 C.F.R. § 778.104–778.105
Pay Rates
Under Alaska Statute 23.10.060, nonexempt employees covered by the Alaska Wage and Hour Act earn overtime at the following rates:
Time-and-a-half (1.5× regular rate):
- Hours worked over 8 in a workday
- Hours worked over 40 in a workweek
Both thresholds operate independently. However, hours already compensated as daily overtime are not counted a second time toward the weekly 40-hour threshold. If an employee is paid overtime for working 10 hours on Monday (2 overtime hours), those 2 overtime hours are not added again when computing whether the employee exceeded 40 hours for the week.
No double-time requirement: Alaska does not mandate double-time pay. The maximum overtime rate required under state law is 1.5× the regular rate.
What Counts as the “Regular Rate of Pay”
The regular rate is not always the same as the hourly wage. Under the FLSA (29 C.F.R. § 778.108), the regular rate includes:
- Base hourly rate or salary equivalent
- Non-discretionary bonuses and incentive pay
- Shift differentials
- Commissions
- Piece-rate earnings
The regular rate does NOT include:
- Discretionary bonuses (e.g., holiday gifts)
- Employer contributions to benefit plans
- Vacation, holiday, or sick pay when no work is performed
Multiple pay rates: When an employee in Alaska is paid at different rates during the same workweek, the employer may calculate overtime using either a weighted average of all rates or 1.5× the rate applicable to the type of work being performed during the overtime hours.
Source: AS 23.10.060; 29 C.F.R. § 778.108–778.122; https://labor.alaska.gov/lss/whact.htm
Calculation Examples
Example 1 — Weekly overtime in Alaska (2026 minimum wage):
An employee earns $14.00/hour and works 48 hours in one workweek, with no single day exceeding 8 hours:
- Regular pay: 40 hours × $14.00 = $560.00
- Overtime pay: 8 hours × ($14.00 × 1.5) = 8 × $21.00 = $168.00
- Total weekly gross pay: $728.00
Example 2 — Daily overtime in Alaska:
An employee earns $14.00/hour and works a 10-hour shift on a day when their total weekly hours remain under 40:
- Regular pay: 8 hours × $14.00 = $112.00
- Overtime pay: 2 hours × ($14.00 × 1.5) = 2 × $21.00 = $42.00
- Total daily gross pay: $154.00
The employee receives overtime for the 2 hours over 8, even though they have not yet reached 40 hours for the week.
Example 3 — Combined daily and weekly overtime:
An employee earns $14.00/hour and works the following schedule:
| Alaska Daily Overtime Example (8-Hour Rule) | ||
|---|---|---|
| Day | Hours worked | Daily OT hours (over 8) |
| Monday | 10 | 2 |
| Tuesday | 10 | 2 |
| Wednesday | 10 | 2 |
| Thursday | 10 | 2 |
| Friday | 8 | 0 |
| Total | 48 | 8 |
- Straight-time pay (first 8 hours each day): 40 hours × $14.00 = $560.00
- Daily overtime pay: 8 hours × $21.00 = $168.00
- Weekly overtime check: The 8 daily OT hours have already been compensated at 1.5× and are not double-counted toward the 40-hour weekly threshold.
- Total weekly gross pay: $728.00
For the current Alaska minimum wage used in these calculations, see the Alaska Minimum Wage page.
Source: AS 23.10.060; 29 C.F.R. § 778.108; https://labor.alaska.gov/lss/whact.htm
Who Is Exempt from Overtime in Alaska?
Not all employees in Alaska are entitled to overtime pay. Certain employees are classified as “exempt” under federal and/or state law. Alaska’s exemption rules differ meaningfully from federal rules, particularly on the salary threshold.
Alaska Exempt Salary Threshold (2026)
Alaska ties its exempt salary threshold to twice the state minimum wage for a 40-hour workweek. As the state minimum wage increases under Ballot Measure 1 (passed November 2024), the salary threshold automatically adjusts:
| Alaska vs Federal Salary Threshold Comparison | |||
|---|---|---|---|
| Category | Weekly threshold | Annual equivalent | Basis |
| Alaska (from July 1, 2026) | $1,120/week | $58,240/year | 2× $14.00/hr × 40 hrs |
| Alaska (from July 1, 2027) | $1,200/week | $62,400/year | 2× $15.00/hr × 40 hrs |
| Federal FLSA | $684/week | $35,568/year | 29 C.F.R. § 541 |
| Difference (2026) | +$436/week more than federal | +$22,672/year | — |
What this means: An employee in Alaska earning between $684/week and $1,119/week is exempt under federal law but NOT exempt under Alaska law. Since Alaska law is more favorable to the employee, the state threshold applies — and the employee is entitled to overtime pay.
Source: AS 23.10.055(b); Alaska Dept. of Labor news release — https://labor.alaska.gov/news/2025/news25-11.htm
States with Higher Exempt Salary Thresholds Than Federal (2026)
| States With Higher Exempt Salary Thresholds (2026) | |||
|---|---|---|---|
| State | Weekly threshold (2026) | Annual equivalent | Basis |
| Washington | $1,541.70 | $80,168 | 2× state min wage |
| California | $1,352.00 | $70,304 | 2× state min wage |
| New York (NYC/Nassau/Suffolk/Westchester) | $1,275.00 | $66,300 | Region-based |
| New York (rest of state) | $1,199.10 | $62,353 | Region-based |
| Alaska (from July 1, 2026) | $1,120.00 | $58,240 | 2× state min wage |
| Colorado | $1,111.23 | $57,783 | Adjusted annually |
| Maine | $871.16 | $45,300 | 3,000× min wage ÷ 52 |
| Federal | $684.00 | $35,568 | 29 C.F.R. § 541 |
Source: Respective state Department of Labor websites
Federal FLSA Exemption Requirements
To be exempt from overtime under the FLSA, an employee must meet ALL THREE criteria:
1. Salary basis test: Paid a predetermined, fixed salary each pay period (not hourly)
2. Salary level test: Earn at least $684 per week ($35,568 per year) under federal law — or $1,120/week under Alaska law (effective July 1, 2026)
3. Duties test: Perform specific job duties in one of these categories:
| Overtime Exemptions (FLSA-Based) | |
|---|---|
| Exemption | Key duty requirement |
| Executive | Manages enterprise or department; directs 2+ employees; authority to hire/fire |
| Administrative | Office/non-manual work related to management or business operations; exercises independent judgment |
| Professional | Work requiring advanced knowledge in science or learning (prolonged specialized study) |
| Computer employee | Systems analysis, programming, software engineering — $684/week salary OR $27.63/hour |
| Outside sales | Primary duty is making sales away from employer's place of business |
Source: 29 C.F.R. Part 541; https://www.dol.gov/agencies/whd/fact-sheets
What Happened to the 2024 DOL Salary Threshold Increase?
In April 2024, the U.S. Department of Labor issued a final rule that would have raised the exempt salary threshold to $1,128 per week ($58,656/year) effective January 1, 2025.
On November 15, 2024, the U.S. District Court for the Eastern District of Texas vacated that rule nationwide in Texas v. U.S. Department of Labor (No. 4:24-cv-00499).
The federal salary threshold remains $684/week ($35,568/year) as of 2026. However, in Alaska, this distinction is largely academic — Alaska’s own threshold of $1,120/week is already higher than what the vacated federal rule would have required.
Alaska-Specific Overtime Exemptions Under AS 23.10.060(d)
Beyond the standard executive, administrative, and professional exemptions, Alaska law also exempts the following employees from overtime pay requirements:
- Employers with 3 or fewer employees in the regular course of business (the entire employer, not per location)
- Employees handling, packing, storing, or canning agricultural or horticultural commodities
- Employees in small mining operations (12 or fewer workers), provided they do not work more than 12 hours/day or 56 hours/week during mining season (limited to 14 workweeks per calendar year)
- Seamen
- Employees in forestry or lumber operations with 12 or fewer total employees
- Outside buyers of poultry, eggs, cream, or milk in raw or natural state
- Casual employees (as defined by commissioner regulations)
- Employees of a hospital whose employment includes the provision of medical services (separate from the nursing overtime law — see Section 4 below)
- Employees working under a Flexible Work Hour Plan included in a collective bargaining agreement, or under a written flexible plan approved by and filed with the Alaska Department of Labor
- Line haul truck drivers on routes exceeding 100 road miles one way, when compensated under a qualifying system
- Community health aides employed by a local or regional health organization
- Flat-rate mechanics primarily servicing automobiles, light trucks, and motor homes — under a specific written agreement meeting the conditions in AS 23.10.060(d)(16)
- Air carrier employees working under voluntary shift-trading agreements filed with the employer
- Flight crew members employed by air carriers subject to the Railway Labor Act
Source: AS 23.10.060(d); https://labor.alaska.gov/lss/whact.htm
Salaried Employees and Overtime
Being paid a salary does not automatically exempt an employee from overtime in Alaska. Under AS 23.10.060, payment on a salary basis does not eliminate overtime requirements.
If a salaried employee’s contract does not establish a fixed number of daily and weekly hours that the salary is intended to cover, or if actual hours deviate from the contract without corresponding pay adjustments, Alaska law treats the salary as compensation for an 8-hour workday and 40-hour workweek — and overtime is calculated accordingly.
Source: AS 23.10.060; https://labor.alaska.gov/lss/forms/pam100.pdf
Overtime Tax Deduction: "No Tax on Overtime" (2025–2028)
The One Big Beautiful Bill Act (Public Law 119-21), signed on July 4, 2025, created a new federal income tax deduction for qualified overtime compensation under Internal Revenue Code § 225.
This deduction is available for tax years 2025 through 2028.
Who Is Eligible
- Nonexempt employees covered by the Fair Labor Standards Act (29 U.S.C. § 207)
- Must have a Social Security number valid for employment
- Cannot use the Married Filing Separately filing status
Who is NOT eligible:
- Exempt (salaried) employees who do not receive FLSA overtime
- Independent contractors (1099 workers) who are not FLSA-covered
- Employees receiving overtime only under state law or employer policy that exceeds FLSA requirements (if that overtime is not also required by the FLSA)
What Is Deductible
The deduction covers the premium portion of overtime pay — specifically the amount that exceeds the regular rate of pay.
| Overtime Tax Deduction Breakdown (Example: $20/hr Regular Rate) | ||
|---|---|---|
| Overtime type | What is deductible | Example ($20/hr regular rate) |
| Time-and-a-half (1.5×) | The "half" — 1/3 of total OT pay | $10/hr per OT hour ($30 − $20) |
| Double time (2×) | The "full extra" — 1/2 of total OT pay | $20/hr per OT hour ($40 − $20) |
IRS shortcut for 2025: If you only know your total overtime pay and were paid at time-and-a-half, divide the total overtime amount by 3. For example: $9,000 in total overtime pay ÷ 3 = $3,000 deductible qualified overtime compensation.
Source: IRS Notice 2025-69
| Deduction Limits — Federal Overtime Tax Deduction (2025–2028) | |||
|---|---|---|---|
| Filing status | Maximum annual deduction | Phase-out begins | Fully phased out |
| Single | $12,500 | $150,000 MAGI | See IRS guidance |
| Married filing jointly | $25,000 | $300,000 MAGI | See IRS guidance |
| W-2 Reporting — Federal Overtime Tax Deduction | |
|---|---|
| Tax year | Employer reporting requirement |
| 2025 | NOT required to separately report (transition year — IRS Notice 2025-62). Employers may voluntarily report in W-2 Box 14 as "QUAL OT" or provide a separate statement. |
| 2026 and later | REQUIRED to separately report qualified overtime compensation. IRS draft W-2 indicates Box 12, Code TT (draft — subject to change before finalization). |
If an employer did not separately report overtime for 2025, the IRS allows employees to use “any reasonable method” to calculate the deductible amount, including:
- One-third of total overtime pay (for time-and-a-half workers)
- Payroll records or pay stubs showing overtime hours and rates
- Employer statements or online portal information
What This Deduction Does NOT Do
- Does NOT exempt overtime from Social Security (6.2%) or Medicare (1.45%) taxes (FICA)
- Does NOT apply to state income taxes
- Does NOT change how much overtime pay an employee receives — it reduces federal taxable income when filing
- Does NOT apply to overtime paid solely under state law or employer policy that exceeds FLSA requirements
Source: IRS FAQs on Qualified Overtime Compensation Deduction; IRS Notice 2025-69; IRS Notice 2025-62; IRC § 225; P.L. 119-21, § 70202; Schedule 1-A (Form 1040) Official IRS page: https://www.irs.gov/newsroom/questions-and-answers-about-the-new-deduction-for-qualified-overtime-compensation
Alaska Income Tax and the Federal Overtime Deduction
Alaska does not impose a state individual income tax. Alaska residents pay no state income tax on wages, salaries, or overtime pay. There is no Alaska individual income tax return.
Source: Alaska Department of Revenue — https://tax.alaska.gov
This means Alaska workers who qualify for the federal overtime tax deduction receive its full benefit at the federal level without any offsetting state income tax on overtime earnings. Workers in Alaska face no state-level income tax on overtime regardless of whether the federal deduction applies.
Cross-reference: For Alaska income tax details, see the Alaska State Income Tax page.
Can an Employer Require Overtime in Alaska?
Under the FLSA, there is no federal limit on the number of hours an employer can require an adult employee (age 16 and older) to work in a workweek, as long as the employee is properly compensated for all overtime hours.
An employer may discipline or terminate an employee for refusing to work overtime, unless a specific law, employment contract, or collective bargaining agreement provides otherwise.
Alaska is an at-will employment state. Employers may require overtime, and at-will employees who refuse may face disciplinary action — provided the employer properly compensates all overtime hours worked at 1.5× the regular rate.
One significant exception applies to nurses. Alaska has enacted mandatory overtime restrictions for nurses in health care facilities under AS 18.20.400–18.20.499 (see the Healthcare section below).
Protections That Always Apply
Regardless of mandatory overtime policies, the following protections apply in Alaska:
- All overtime hours must be compensated at 1.5× the regular rate of pay under AS 23.10.060
- Employers cannot retaliate against employees who file wage complaints (29 U.S.C. § 215(a)(3))
- Disability accommodation requests under the ADA may limit overtime requirements
- Child labor laws restrict hours for employees under 18
Source: 29 U.S.C. § 207; AS 23.10.060; https://labor.alaska.gov/lss/whfaq.htm
Industry-Specific Overtime Rules in Alaska
Healthcare — Mandatory Overtime Limitations for Nurses
Alaska law imposes specific restrictions on mandatory overtime for nurses employed in health care facilities under Alaska Statute 18.20.400–18.20.499 (the Mandatory Overtime Limitations for Nurses, or MOLN law).
What the law covers: Under AS 18.20.400, a nurse in a covered health care facility may not be required or coerced to work:
- More than 12 consecutive hours, or
- More than 80 hours in any 14-day period
A nurse also may not be forced to accept an overtime assignment if, in the nurse’s professional judgment, doing so would jeopardize patient or employee safety.
After completing a scheduled shift, a nurse must receive at least 10 consecutive hours of off-duty time before the start of the next shift.
Covered health care facilities include: Private, municipal, state, or federal hospitals; psychiatric hospitals; independent diagnostic testing facilities; residential psychiatric treatment centers; skilled nursing facilities; kidney disease treatment centers; intermediate care facilities; ambulatory surgical facilities; Alaska Pioneers’ Homes and Alaska Veterans’ Homes; correctional facilities owned or administered by the state; facilities employing one or more public health nurses; long-term care facilities; and juvenile detention facilities.
Exceptions: The mandatory overtime limit does not apply when:
- The nurse is participating in a medical procedure or surgery already in progress
- An unforeseen emergency situation exists that could jeopardize patient safety (e.g., natural disaster, disease outbreak, terrorism)
- The nurse voluntarily agrees to work overtime within professional safety standards (not to exceed 14 consecutive hours)
- The nurse voluntarily works over 80 hours in a 14-day period, provided no more than 14 consecutive hours are worked without a 10-hour break
- During the first 2 hours of overtime status while the facility is obtaining a replacement nurse (as long as total shift does not exceed 14 consecutive hours)
Comp time note: This “overtime” under the nursing law refers to hours exceeding a predetermined scheduled shift — it is distinct from Alaska’s overtime pay requirements under AS 23.10.060.
Complaint filing for nurse overtime violations: File with the Alaska Dept. of Labor and Workforce Development, Wage and Hour Division, within 30 days of the alleged violation.
- Nurse’s Complaint Form: https://labor.alaska.gov/lss/forms/nurse_ot_summ.pdf
- Wage and Hour offices: https://labor.alaska.gov/lss/whhome.htm
Penalties for knowing violations (AS 18.20.430):
- First violation: Reprimand
- Second violation within 12 months: Reprimand + $500 civil penalty
- Third violation within 12 months: Reprimand + $2,500–$5,000 civil penalty
In all cases where a nurse was required to work in violation, the facility must pay the nurse 3× hourly compensation for each hour worked in violation.
Source: AS 18.20.400–18.20.499; https://labor.alaska.gov/lss/forms/nurse_ot_summ.pdf; https://labor.alaska.gov/lss/forms/Nurses_FAQ.pdf
Agriculture
Agricultural employees in Alaska are fully exempt from overtime under AS 23.10.060(d). The FLSA also exempts most agricultural workers from overtime requirements under 29 U.S.C. § 213(b)(12).
Source: AS 23.10.060(d); 29 U.S.C. § 213
Mining
Employees in small mining operations (12 or fewer workers) are exempt from overtime as long as they do not work more than 12 hours/day or 56 hours/week during mining season — and only for periods not exceeding 14 workweeks in aggregate per calendar year.
Source: AS 23.10.060(d)(3)
Healthcare — 8-and-80 System (Hospitals)
Under the federal FLSA (29 U.S.C. § 207(j)), hospitals and residential care facilities may use a 14-day work period instead of a standard 7-day workweek. Under this arrangement, overtime is due after 8 hours in a workday OR 80 hours in the 14-day period, whichever calculation results in more overtime pay.
Note: Alaska’s separate hospital employee exemption (AS 23.10.060(d)(12)) exempts hospital employees whose employment includes providing medical services from the state overtime requirements. FLSA coverage may still apply.
Source: 29 U.S.C. § 207(j); AS 23.10.060(d)(12)
Compensatory Time (“Comp Time”) Rules
Under the FLSA, private-sector employers cannot offer comp time in lieu of overtime pay. An employee who works overtime hours must be compensated at 1.5× their regular rate in wages, not in time off.
Alaska law is explicit on this point. The Alaska Department of Labor’s FAQ states directly: giving comp time instead of overtime wages is not lawful in Alaska for private-sector employees. Employees are entitled to overtime pay on their paycheck, and it must be shown on their pay stub.
Public-sector employers (state and local government) may offer compensatory time off instead of overtime pay under 29 U.S.C. § 207(o), provided:
- The comp time accrues at 1.5 hours for each overtime hour worked
- A prior agreement exists between the employer and employee (or union)
- The cap is 240 hours of accrued comp time (or 480 hours for public safety, emergency response, and seasonal employees)
- Employees must be permitted to use accrued comp time within a reasonable period
Source: 29 U.S.C. § 207(o); https://labor.alaska.gov/lss/whfaq.htm
Transportation — Flexible Work Hour Plans and Truck Drivers
Alaska provides specific accommodations for transportation workers:
- Line haul truck drivers on routes exceeding 100 road miles one way are exempt from overtime if their compensation system includes overtime pay for hours over 40/week or over 8/day at a comparable rate (AS 23.10.060(d)(14)).
- Flight crew members (pilots, co-pilots, flight engineers, flight attendants) employed by air carriers subject to the Railway Labor Act are exempt from Alaska overtime requirements (AS 23.10.060(d)(18)).
- Air carrier customer service employees working under voluntary shift-trading agreements filed with the employer are exempt (AS 23.10.060(d)(17)).
Source: AS 23.10.060(d); https://labor.alaska.gov/lss/whact.htm
Public Sector / Government Employees
Government employees of the State of Alaska and political subdivisions are fully exempt from Alaska’s Wage and Hour Act (AS 23.10.055). Federal FLSA coverage and comp time rules under 29 U.S.C. § 207(o) apply to public employers in Alaska.
Source: AS 23.10.055(a)(6)
How to File an Overtime Wage Complaint in Alaska
Employees in Alaska who believe they have not received proper overtime pay have three options:
Option 1: Alaska Department of Labor and Workforce Development — Wage and Hour Division
| Alaska Wage Claim Filing — State Enforcement | |
|---|---|
| Item | Details |
| Agency | Alaska Dept. of Labor and Workforce Development, Wage and Hour Division |
| Wage claim form | Fillable Wage Claim Form (PDF) — https://www.labor.alaska.gov/lss/forms/FillableWageClaim.pdf |
| Submit by | Mail, in person, or email to statewide.wagehour@alaska.gov |
| Phone (Anchorage) | (907) 269-4900 |
| Phone (federal WHD Anchorage) | (907) 271-2867 |
| All forms and publications | https://labor.alaska.gov/lss/lssforms.htm |
| Deadline | 2 years from the date the work was actually performed (overtime/minimum wage claims) |
What to include with your claim:
- Completed wage claim form and calculation sheet
- Written statement describing the claim in your own words
- Assignment form (authorizes the department to collect on your behalf)
- Any supporting documents: pay stubs, time records, hiring agreements
Source: https://labor.alaska.gov/lss/whfaq.htm; https://labor.alaska.gov/lss/forms/wageclaim.PDF
Option 2: U.S. Department of Labor — Wage and Hour Division
| Federal Wage Complaint — U.S. Department of Labor (WHD) | |
|---|---|
| Item | Details |
| Online | https://www.dol.gov/agencies/whd/contact/complaints |
| Phone | 1-866-487-9243 (toll-free) |
| Deadline | 2 years from violation (3 years if willful) |
Option 3: Private Lawsuit
Employees may file a lawsuit against their employer in state or federal court under 29 U.S.C. § 216(b) and/or AS 23.10.110. Remedies may include:
- Back wages owed
- Liquidated damages in an equal amount to unpaid wages (effectively doubling recovery) — available under both the FLSA and Alaska law
- Reasonable attorney’s fees and court costs
Under AS 23.10.110, the Alaska Dept. of Labor may also take assignment of the employee’s claim and pursue legal action on their behalf.
Retaliation Protection
Under the FLSA (29 U.S.C. § 215(a)(3)) and Alaska law, employers cannot retaliate against employees for:
- Filing an overtime wage complaint
- Participating in a wage investigation
- Testifying in proceedings related to overtime violations
Source: AS 23.10.110; 29 U.S.C. § 216(b); 29 U.S.C. § 215(a)(3); https://labor.alaska.gov/lss/forms/pam100.pdf
Penalties for Overtime Violations in Alaska
| Federal FLSA Penalties | |
|---|---|
| Penalty type | Amount |
| Back wages | Full amount of unpaid overtime owed |
| Liquidated damages | Equal to unpaid wages (effectively doubles recovery) |
| Civil monetary penalty | Up to $2,451 per violation (willful/repeated — adjusted annually) |
| Criminal prosecution | Willful: fines up to $10,000; second offense: up to 6 months imprisonment |
Source: 29 U.S.C. § 216
Alaska Penalties
Under AS 23.10.110, an employer who violates Alaska’s overtime requirements is liable for:
- Unpaid overtime — full amount owed
- Liquidated damages — an additional equal amount (doubling recovery), unless the employer demonstrates good faith and reasonable grounds to believe the act or omission did not violate Alaska law
- Attorney’s fees and court costs — awarded to a prevailing employee
Recordkeeping violations: Alaska requires employers to maintain payroll records for at least 3 years. Failure to maintain required records is itself a violation.
Source: AS 23.10.110; AS 23.10.100; https://labor.alaska.gov/lss/forms/pam100.pdf
Alaska Overtime Law Updates (2025–2026)
Federal Changes Affecting Alaska
- July 4, 2025: One Big Beautiful Bill Act (P.L. 119-21) signed — created federal overtime tax deduction (IRC § 225) for tax years 2025–2028
- November 15, 2024: U.S. District Court (E.D. Texas) vacated the 2024 DOL salary threshold rule — the federal exempt threshold remains $684/week ($35,568/year)
Alaska Changes
- July 1, 2025: Alaska minimum wage increased to $13.00/hour following passage of Ballot Measure 1 in November 2024 — the exempt salary threshold increased to $1,040/week
- July 1, 2026: Alaska minimum wage increases to $14.00/hour — the exempt salary threshold increases to $1,120/week ($58,240/year)
- July 1, 2027: Alaska minimum wage scheduled to increase to $15.00/hour — the exempt salary threshold will increase to $1,200/week ($62,400/year)
- January 1, 2028: Alaska minimum wage returns to annual CPI-based adjustment (Anchorage metropolitan area CPI-U)
- July 1, 2025: Alaska mandatory paid sick leave took effect for all employers under Ballot Measure 1 (separate from overtime requirements)
Source: AS 23.10.065; https://labor.alaska.gov/news/2025/news25-11.htm
Last reviewed: March 3, 2026 Next scheduled review: June 1, 2026
Frequently Asked Questions About Overtime in Alaska
Does Alaska have its own overtime law?
Yes. Alaska has its own overtime law under Alaska Statute 23.10.050–23.10.150 (the Alaska Wage and Hour Act). Alaska law requires overtime after 8 hours in a workday and after 40 hours in a workweek — both thresholds apply independently, making Alaska’s protections broader than the federal FLSA, which only requires weekly overtime.
What is the overtime rate in Alaska in 2026?
The overtime rate in Alaska is 1.5 times the employee’s regular rate of pay. Based on Alaska’s minimum wage of $14.00/hour (effective July 1, 2026), the minimum overtime rate is $21.00/hour. Alaska does not require double time (2× regular rate).
Does Alaska require daily overtime?
Yes. Alaska requires overtime after 8 hours in a single workday, in addition to the standard 40-hour weekly threshold. Working a 9-hour shift entitles an employee to 1 hour of overtime for that day, even if total weekly hours remain under 40.
Is mandatory overtime legal in Alaska?
Employers in Alaska may generally require adult employees to work overtime, and at-will employees who refuse may be disciplined or terminated. However, nurses in covered health care facilities cannot be required to work more than 12 consecutive hours or 80 hours in a 14-day period under AS 18.20.400. All employees must be compensated at 1.5× their regular rate for all overtime hours worked.
Am I exempt from overtime in Alaska?
Exemption depends on salary level, pay method, and job duties. Under Alaska law, employees must earn at least $1,120/week (effective July 1, 2026) on a salary basis AND perform executive, administrative, or professional duties to qualify for exemption. This threshold is significantly higher than the federal floor of $684/week. Employers with 3 or fewer total employees are also exempt from Alaska’s overtime requirements.
Can salaried employees get overtime in Alaska?
Yes. Being paid a salary does not automatically exempt an employee from overtime in Alaska. Salaried employees who earn less than $1,120/week (effective July 1, 2026) or who do not meet the duties tests are nonexempt and entitled to overtime pay. Alaska law explicitly states that payment on a salary basis does not eliminate overtime requirements.
Is overtime taxed in Alaska?
Overtime pay is subject to federal income taxes and FICA (Social Security and Medicare) taxes. Alaska has no state income tax, so overtime earnings are not subject to any Alaska state income tax. Additionally, under the One Big Beautiful Bill Act (2025–2028), FLSA-covered nonexempt employees may deduct up to $12,500 ($25,000 joint) of the premium portion of overtime from federal taxable income under IRC § 225. Alaska workers benefit from this deduction without any state income tax applying to the remaining overtime pay.
How do I calculate the federal overtime tax deduction?
For time-and-a-half pay, the deductible amount is one-third of total overtime pay. For example, if you earned $9,000 in total overtime at time-and-a-half, the qualified overtime compensation deduction is $3,000. The IRS confirms this method in Notice 2025-69. The deduction is claimed on Schedule 1-A of Form 1040.
How do I file an overtime complaint in Alaska?
Complete the Fillable Wage Claim Form at https://www.labor.alaska.gov/lss/forms/FillableWageClaim.pdf and submit it to the Alaska Dept. of Labor Wage and Hour Division by mail, in person, or email (statewide.wagehour@alaska.gov). You may also contact the U.S. DOL Wage and Hour Division at 1-866-487-9243. The state statute of limitations for overtime claims is 2 years from the date the work was performed.
Can my employer fire me for refusing overtime in Alaska?
In most cases, yes. Alaska is an at-will employment state, and employers may discipline or terminate employees who refuse overtime, unless a law, contract, or collective bargaining agreement provides otherwise. Exception: Nurses in covered health care facilities cannot be terminated or disciplined for declining overtime that would violate AS 18.20.400. Employers cannot retaliate against any employee for filing an overtime wage complaint.
Can my employer give comp time instead of overtime pay in Alaska?
No, not in the private sector. The Alaska Department of Labor states explicitly that giving comp time instead of overtime wages is not lawful in Alaska for private employers. Employees must receive overtime pay in cash on their paycheck. Public-sector employers (state and local government) may offer comp time at 1.5 hours per overtime hour, up to 240 hours (480 hours for public safety), under a prior agreement.
Does working on weekends or holidays count as overtime in Alaska?
No. Under both the Alaska Wage and Hour Act and the FLSA, working on weekends or holidays does not automatically trigger overtime. Overtime in Alaska is determined by actual hours worked in the workday (over 8) or workweek (over 40), regardless of which days those hours fall on. An employer may voluntarily offer premium pay for weekend or holiday work, but is not legally required to do so.
What happens if my employer doesn’t pay overtime in Alaska?
Employees may recover unpaid overtime wages plus liquidated damages (an equal additional amount) and attorney’s fees under AS 23.10.110 and 29 U.S.C. § 216(b). File a claim with the Alaska Wage and Hour Division within 2 years of the violation (3 years if the FLSA violation was willful). The Alaska Dept. of Labor may pursue the claim on the employee’s behalf if an assignment is filed.
What is the statute of limitations for overtime claims in Alaska?
Under Alaska law (AS 23.10.110): 2 years from the date the work was actually performed for overtime and minimum wage claims. Under the FLSA: 2 years from the violation (3 years if willful). File as soon as you become aware of potential underpayment.
Does Alaska have a minimum wage change scheduled for 2026?
Yes. Effective July 1, 2026, Alaska’s minimum wage increases from $13.00 to $14.00/hour under Ballot Measure 1 (passed November 2024). This also automatically raises the exempt salary threshold from $1,040/week to $1,120/week, since Alaska ties the exemption threshold to twice the minimum wage for a 40-hour workweek.
Are Alaska nurses protected from mandatory overtime?
Yes. Under AS 18.20.400–18.20.499, nurses in covered health care facilities may not be required to work more than 12 consecutive hours or 80 hours in a 14-day period. Nurses may also refuse overtime assignments when, in their professional judgment, accepting would jeopardize patient or employee safety. Violations are reported to the Wage and Hour Division and may result in civil penalties plus 3× hourly compensation for each hour worked in violation.
Sources and Verification
Primary Sources
- Alaska Wage and Hour Act, AS 23.10.050–23.10.150 — https://labor.alaska.gov/lss/whact.htm
- Alaska Mandatory Overtime Limitations for Nurses, AS 18.20.400–18.20.499 — https://labor.alaska.gov/lss/forms/nurse_ot_summ.pdf
- Alaska Dept. of Labor and Workforce Development, Wage and Hour Division — https://labor.alaska.gov/lss/whhome.htm
- Alaska Dept. of Labor, Wage and Hour FAQ — https://labor.alaska.gov/lss/whfaq.htm
- Alaska Dept. of Labor, Employment Practices and Working Conditions, Pamphlet 100 — https://labor.alaska.gov/lss/forms/pam100.pdf
- Alaska Dept. of Labor, Wage Claim Form — https://www.labor.alaska.gov/lss/forms/FillableWageClaim.pdf
- Alaska Dept. of Labor, All Forms and Publications — https://labor.alaska.gov/lss/lssforms.htm
- Alaska Dept. of Labor, Minimum Wage News Release (July 2025) — https://labor.alaska.gov/news/2025/news25-11.htm
- Alaska Department of Revenue (no state income tax) — https://tax.alaska.gov
- U.S. Department of Labor, Wage and Hour Division — https://www.dol.gov/agencies/whd/overtime
- Fair Labor Standards Act — 29 U.S.C. § 201–219
- 29 C.F.R. Part 541 (Overtime Exemptions)
- Internal Revenue Service — Overtime Tax Deduction FAQs — https://www.irs.gov/newsroom/questions-and-answers-about-the-new-deduction-for-qualified-overtime-compensation
- IRS Notice 2025-69 (Individual Calculation Guidance for Overtime Deduction)
- IRS Notice 2025-62 (Employer Reporting Transition Relief for 2025)
- Schedule 1-A, Form 1040 (Claiming the Overtime Deduction)