Since 1982, residents of Alaska have obtained a mixed $31.3 billion from the Alaska Everlasting Fund, a singular revenue-sharing program fueled by oil and mineral royalties.
As the biggest sovereign wealth fund in America, it distributes dividends to Alaskans, with the quantity fluctuating yearly based mostly on its efficiency. When you’re a full-time resident of the state, you’re eligible for annual dividends, making Alaska the one U.S. state that successfully pays you to reside there. This might end in important earnings over a lifetime.
On common, residents have obtained $1,229 per 12 months for the reason that fund launched in 1982, or roughly $4,916 yearly for a household of 4.
Key Takeaways
- Alaska residents earn an annual dividend from the Alaska Everlasting Fund, which has averaged $1,229 yearly since its launch in 1982.
- Dividends are distributed to all residents of Alaska, together with kids, and the quantity fluctuates annually based mostly on the fund’s efficiency.
- The fund generates revenue from the oil and mining sector, with the income invested in a mix of shares, bonds, personal fairness, and different property.
How the Alaska Everlasting Fund Generates Cash
As of April 30, 2025, the Alaska Everlasting Fund held $81.45 billion in property, pushed primarily by royalties within the oil and fuel sector. In 2024, this income totaled $532.6 million, equal to at the least 25% of the state’s income from oil and minerals.
Over the previous 5 years, the fund has returned 9.46% on common, pushed by investments in eight distinct portfolios listed beneath, based mostly on market values as of June 11, 2025:
Alaska Everlasting Fund Portfolio Holdings
Portfolio Identify
Worth (as of June 2025)
Shares
$27.3 billion
Bonds
$16.5 billion
Non-public Fairness
$14.6 billion
Actual Property
$9.4 billion
Non-public Revenue and Infrastructure
$7.6 billion
Absolute Return
$5.9 billion
Tactical Alternatives
$578 million
Money
$1.7 billion
Collectively, the royalties and the fund’s annual efficiency decide the dividend for the fund. As an illustration, residents obtained $2,072 through the 2015 oil growth, however this fell to $992 when oil costs plummeted.
How Have Dividends Modified Over Time?
Annual funds range broadly relying on fund returns and oil costs. Throughout oil booms, residents might obtain greater than double the common. Throughout downturns, payouts shrink.
Alaska Everlasting Dividend Funds
Yr
Dividend Quantity
Functions Paid
Whole Disbursement
2024
$1,702
624,489
$1,062,880,278
2023
$1,312
624,354
$819,152,448
2022
$3,284
625,912
$2,055,495,008
2021
$1,114
636,895
$709,501,030
2020
$992
630,937
$625,889,504
2019
$1,606
633,243
$1,016,988,258
2018
$1,600
639,247
$1,022,795,200
2017
$1,100
633,005
$696,305,500
2016
$1,022
638,178
$652,217,916
2015
$2,072
641,561
$1,329,314,392
In 2024, Alaskans obtained a dividend of $1,702, with over $1 billion in complete disbursements paid that 12 months. Whereas the historic common dividend quantity stands at $1,229, the expansion of those earnings over time could be substantial. Take into account if you happen to obtained $1,229 in dividends annually for 50 years, you’d find yourself with $61,450. For a pair, this quantities to $122,900.
Quick Truth
In 2022, the annual dividend from the Alaska Everlasting Fund hit a file excessive of $3,284, which included a $662 one-time vitality aid fee amid inflationary pressures.
To make this cash develop even additional, you may funnel these dividends into various completely different funding accounts, resembling tax-advantaged retirement financial savings accounts, high-yield financial savings accounts, cash market funds, or a broad index that tracks the S&P 500. Along with receiving free cash, your earnings can profit from the ability of compounding over time.
The Backside Line
Not solely does Alaska haven’t any revenue tax or gross sales tax, but it surely additionally runs a multi-billion-dollar sovereign wealth fund that gives important money transfers to residents annually. Whereas its harsh local weather has disincentivized many from residing there, those that keep the course can obtain tens of hundreds over their lifetime, which could be strategically channelled into high-yielding investments to develop their wealth even additional.
