Reference · State of Alaska

Alaska trade labor costs

What a plumbing, HVAC or electrical tech earns in Alaska, what the state adds to payroll, whether labor is taxed, what a license costs, how lien rights work and when the heating and cooling seasons peak — each figure from the agency that sets it, with the date we read it.

  • Wages BLS OEWS May 2025
  • Payroll and licenses state agencies
  • Checked and
Plumbing median
$45.15/h+47.2% vs the U.S.5th of 51
HVAC median
$37.23/h+26.9% vs the U.S.2nd of 51
Electrical median
$43.00/h+41.5% vs the U.S.5th of 51
New-employer SUTA
1.00%on the first $54,200
Payroll programs
Noneno paid-leave or disability program found
Sales tax on labor
No sales taxrepair and installation on buildings

Pay in Alaska

Hourly pay across all industries, May 2025. Half of the workers in each trade earn less than the median and half earn more; one in ten earns less than the 10th percentile. Union and non-union, no self-employed.

Hourly pay, 10th to 90th percentileDrawn to scale: one dollar axis for all three trades
  • PlumbingU.S. median $30.67

    plumbers: 10th percentile $25.83, 25th $35.40, median $45.15, 75th $49.44, 90th $58.97 an hour; U.S. median $30.67.

  • HVACU.S. median $29.33

    HVAC techs: 10th percentile $23.36, 25th $28.22, median $37.23, 75th $49.12, 90th $50.55 an hour; U.S. median $29.33.

  • ElectricalU.S. median $30.38

    electricians: 10th percentile $28.09, 25th $32.11, median $43.00, 75th $50.75, 90th $59.23 an hour; U.S. median $30.38.

  • 25th–75th percentile
  • State median
  • U.S. median
Hourly pay by percentile for plumbers, HVAC techs and electricians in Alaska, BLS OEWS May 2025
PercentilePlumbingHVACElectrical
10th$25.83$23.36$28.09
25th$35.40$28.22$32.11
Median$45.15$37.23$43.00
75th$49.44$49.12$50.75
90th$58.97$50.55$59.23
Mean$43.49$38.53$43.29
U.S. median$30.67$29.33$30.38
vs U.S.+47.2%+26.9%+41.5%
Rank5th2nd5th
Jobs1,2006101,870

Dollars an hour. BLS occupations: Plumbers, pipefitters and steamfitters (SOC 47-2152); Heating, air conditioning and refrigeration mechanics and installers (SOC 49-9021); Electricians (SOC 47-2111). “vs U.S.” compares the medians; rank 1 is the highest median of the 50 states and DC. Released May 15, 2026; the next survey is due each spring.

Payroll costs the state adds

What Alaska charges an employer on top of wages: unemployment tax, and any paid-leave or disability program funded through payroll, and who must carry workers’ comp. Federal Social Security, Medicare and unemployment tax apply in every state and are already in the calculator. Workers’ comp premiums depend on the class code and the insurer, so the card gives the rules, not a rate.

State unemployment tax (SUTA)

Alaska Department of Labor and Workforce Development (Employment Security Tax)

Wage base
$54,200 per employee a year
New-employer rate
1.00%
Construction
Same as other new employers

Alaska Department of Labor and Workforce Development (DOLWD) 2026 rates for new employers by industry: 1.00% for every industry, construction included. Workers also pay 0.50%, withheld from their wages (not an employer cost).

Per tech, a year 1.00% × $54,200 = $542At the new-employer rate, for a plumber paid the state median ($45.15 × 2,080 h = $93,912). The calculator uses the rate alone.

State pages read

Workers’ compensation

Alaska Department of Labor and Workforce Development, Division of Workers' Compensation

Who must carry it
Any employeeEvery employer with one or more employees in Alaska must carry workers’ compensation insurance unless the Alaska Workers’ Compensation Board has approved it as a self-insurer. Family members and friends who work for the business must be covered too. labor.alaska.gov
Where to buy it
Private insurersCoverage comes from commercial insurers admitted in Alaska; Alaska has no state fund. A business that cannot get a commercial policy can buy one through Alaska’s Assigned Risk Pool, administered by NCCI. labor.alaska.gov
Owners
Since August 1, 2019, sole proprietors, partners, LLC members with at least 10% ownership and executive officers of for-profit corporations with at least 10% ownership do not have to insure themselves. They must still cover their employees, including family members and friends. labor.alaska.gov
Construction
If a subcontractor fails to insure its employees, the contractor is liable for and must secure their compensation; if the contractor also fails, the project owner becomes liable (AS 23.30.045(a)). akleg.gov

Statute and agency pages read

Paid leave and disability insurance

We found no state paid family and medical leave or temporary disability insurance program funded through payroll in Alaska on October 28, 2026. State paid sick leave rules, where they exist, are not covered here.

New-employer rates usually last one to three years — longer in some states (four years in Indiana, four to five in D.C.); then the state assigns your own rate, and your rate notice wins over any figure here. The calculator below uses the new-employer rate where one is clear. Where a state’s own pages could not be read, the card says so and gives the U.S. Labor Department’s figure.

What a shop in Alaska needs to charge

The calculator’s example shop — three techs, $120,000 of overhead, a truck each, 10% net profit — with Alaska’s median wage for each trade and its unemployment tax filled in. Your own numbers will differ; change them in the calculator below.

Example shopBreak-evenRate, 10% profit
Plumbingwage $45.15$144.01$160.01→ $165
HVACwage $37.23$127.01$141.12→ $145
Electricalwage $43.00$139.39$154.88→ $155

Per billable hour; → is the rate rounded up, as the calculator rounds it. Everything except the wage and the unemployment tax is the national example (BLS, IRS and DOL figures listed on the labor rate calculator).

Change the numbers for your shop

The labor rate calculator, opened on Alaska: pick your trade, put in your own crew, pay and overhead, and the rate and break-even redraw as you type.

Your labor rate

Who does the billable work?

Example shop in Alaska: 3 techs at the state’s median plumber wage, $120,000 overhead. Change any number or pick another state.

Charge at least Example shop · Alaska

Charge at least $160.01 per billable hour; break-even $144.01.

Round up to $165 (+$4.99)

See it drawn to scale
Rate build-upDrawn to scale: every dollar the same height
Rate build-up for the example, drawn to scaleColumn from $0 to $160.01 per billable hour, drawn to scale: wage $77.18, taxes & benefits $20.21, overhead $32.87, truck $13.74, profit 10% $16.00. Break-even line at $144.01. Rounded up to $165.12345$0Labor$97.39Break-even$144.01Your rate$160.01Round up to$165
  1. Wage$93,912.00 ÷ 1,216.8 h$77.18
  2. Taxes & benefits26.19% of pay$20.21
  3. Overhead$120,000 ÷ 3,650.4 h$32.87
  4. Truck$16,719.14 ÷ 1,216.8 h$13.74
  5. Profit 10%of the price$16.00
Break-even
$144.01
Profit per hour
$16.00
Revenue a year
$584,095

$144.01 ÷ (1 − 10%) = $160.01rounded up to $165

Already showing the example.

Price your tasks at $165 an hourOpens the price book builder with this rate.

Billable hours
1,216.8per tech a year
Loaded wage
$56.98per paid hour
Labor
$97.39per billable hour
Overhead
$32.87per billable hour
Truck
$13.74per billable hour
Labor burden
26.19%over gross pay

What moves your rate

  • Every billable hour sold under $144.01 loses money.
  • At 70% billable instead of 65%, break-even drops to $133.72, $10.29 an hour less.
  • Cut $10,000 of overhead a year and break-even drops $2.74 an hour, to $141.27.
Show the math
  1. Worked hours2,080 h − 26 days × 8 h = 1,872 h
  2. Billable hours per tech1,872 h × 65% = 1,216.8 h
  3. Gross pay per tech$45.15 × 2,080 h = $93,912.00
  4. Employer taxes and comp$5,822.54 SS + $1,361.72 Medicare + $42.00 FUTA + $542.00 SUTA + $2,507.45 comp = $10,275.72
  5. Benefits$93,912.00 × 15.25% = $14,321.58
  6. Labor per billable hour$118,509.30 ÷ 1,216.8 h = $97.39
  7. Overhead per billable hour$120,000 ÷ (3 × 1,216.8 h) = $32.87
  8. Truck per billable hour$16,719.14 ÷ 1,216.8 h = $13.74
  9. Break-even$97.39 + $32.87 + $13.74 = $144.01
  10. Rate at 10% profit$144.01 ÷ (1 − 10%) = $160.01

Change the numbers

State and trade
Trade

Fills the wage and state unemployment tax (SUTA). Workers’ comp and everything else stay as they are.

Filled for Alaska3 figures
Wage Plumbing
$45.15/hr
Alaska median for plumbers · BLS OEWS May 2025
SUTA rate New employer
1.00%
New-employer rate, construction included (Alaska Department of Labor and Workforce Development, 2026) · DOL Significant Provisions, July 2026
SUTA wage base Per tech
$54,200
Alaska · DOL Significant Provisions, July 2026

Your own rate notice wins. These are new-employer rates: after one to three years the state sets your own, and construction employers often pay a different rate.

Alaska: pay, payroll taxes and licensesSee all 50 states and DC
Alaska: the fine print

Alaska Department of Labor and Workforce Development (DOLWD) 2026 rates for new employers by industry: 1.00% for every industry, construction included. Workers also pay 0.50%, withheld from their wages (not an employer cost).

Crew and pay

People who bill hours. Office staff go in overhead.

Average base pay. Filled: Alaska median for plumbers, BLS OEWS May 2025.

Hours and time off2,080 h · 26 days off

40 hours × 52 weeks = 2,080.

Holidays, vacation and sick days, 8 h each. Example: 8 + 11 + 7 (BLS).

Optional. Paid at 1.5 × the wage. Leave 0 if none.

Billable time

Share of worked hours that ends up on invoices. Published figures run from 30% to 65%.

Billable hours1,216.8 hper tech · 3,650.4 h for the shop
Payroll taxes and benefits+26.19% of pay

Filled: Alaska new-employer rate, DOL Significant Provisions, July 2026. Your notice wins.

Pay per tech the rate applies to. Filled: Alaska, DOL Significant Provisions, July 2026.

Use the rate on your policy. Example: BLS construction average.

Health, retirement and other benefits. Example: BLS construction average.

Loaded wage$56.98per paid hour · burden 26.19%

Included automatically (IRS, tax year 2026): Social Security 6.2% of pay up to $184,500, Medicare 1.45%, federal unemployment (FUTA) 0.6% of the first $7,000.

Shop costs

An example figure. Everything except field pay and trucks — split it in the worksheet below.

Payments, fuel, insurance and upkeep. Enter 0 if trucks are already in overhead.

Profit

Profit as a share of the price, not a markup on cost.

Your rate: $160.01 per billable hour · break-even $144.01. Back to the result

Sales tax on your work

What Alaska’s tax agency says about repair and installation labor on buildings and the parts and fixtures that go into them. This is what the agency’s pages say, not tax advice.

Labor
No sales taxAlaska has no state sales tax. Several cities and boroughs levy their own, and state law lets a borough tax sales, rents and services, so labor can be taxed locally.Set locally: each city or borough decides what is taxable, and the state says to contact the municipality for its rules and forms.
Materials
No state sales taxA city or borough that levies a sales tax may also levy a use tax on goods used there.

Read October 24, 2026 on the agency pages listed under Sources. All 50 states and DC side by side.

Licenses and state fees

The license a shop needs from the state to contract for each trade, the board that issues it and the fees on its own schedule. Cities and counties can add their own licenses, registrations and permit fees; exam vendors and fingerprinting may charge more.

Plumbing and HVAC

State license

Alaska Department of Commerce, Community, and Economic Development – Division of Corporations, Business and Professional Licensing (Mechanical Administrators Program)

  • Plumbing Mechanical Administrator license – Unlimited Commercial and Industrial Plumbing (UCIP) or Residential Plumbing and Hydronic Heating (RPHH) category; administrator is assigned to a registered (mechanical) contractorPer AS 08.40.260(a), a person may not act as a mechanical administrator in the state without a department license; the administrator must be assigned to a registered contractor (application form 08-4904).
  • HVAC Mechanical Administrator license – HVAC categories (Unlimited HVAC/Sheet Metal (UHVCS), Residential HVAC (RHVC), Heating, Cooling and Process Piping (HCPP), Unlimited Refrigeration (UR)); assigned to a registered (mechanical) contractorPer AS 08.40.260(a), a person may not act as a mechanical administrator without a department license and may work only in the licensed category; the administrator must be assigned to a registered contractor (form 08-4904).
FeeAmount
Mechanical administrator application fee(nonrefundable, per category)one-time$150
Mechanical administrator initial license fee2 years (initial biennial period)$200
Construction contractor registrationapplication fee (nonrefundable)one-time$100
Construction contractor certificate of registration fee2 years (initial biennial period); renewal $250 per 2 years$250
Mechanical administrator renewal fee2 years$200

Exam fee (third-party vendor) not stated on pages.

Plumbing 12 AAC 02.245 (mechanical administrators) and 12 AAC 02.180 (construction contractors). Form 08-4904 confirms $150 application + $200 license = $350. Licenses expire Dec 31 of odd-numbered years. Journeyman plumber certificates of fitness (Dept. of Labor) not covered here.

HVAC Same mechanical administrator fees as plumbing (12 AAC 02.245); each category applied for separately carries its own $150 application fee.

Keeping the license

Renewal
PlumbingMechanical administrator licenses (which cover plumbing categories) are issued for two years and expire December 31 of odd-numbered years, whatever the issue date. There is no inactive status. commerce.alaska.govHVACMechanical administrator licenses (which cover HVAC categories) are issued for two years and expire December 31 of odd-numbered years, whatever the issue date. There is no inactive status. commerce.alaska.gov
Continuing ed.
PlumbingTo renew, a mechanical administrator must complete at least one 8-hour continuing-education workshop (or approved equivalent study) each two-year licensing period on the code for each category held; the Uniform Plumbing Code for the commercial and industrial plumbing category (12 AAC 39.410). akleg.govHVACTo renew, a mechanical administrator must complete at least one 8-hour continuing-education workshop (or approved equivalent study) each two-year licensing period on the code for each category held; the Uniform Mechanical Code for the HVAC, refrigeration and controls categories (12 AAC 39.410). akleg.gov
Reciprocity
Alaska has no named-state reciprocity list for mechanical administrators; instead it waives the exam (license by credentials) for an applicant licensed as a mechanical administrator or equivalent in any other state who passed an equivalent exam and meets Alaska’s qualifications (AS 08.40.270(b)). akleg.gov

Electrical

State license

Alaska Department of Commerce, Community, and Economic Development – Division of Corporations, Business and Professional Licensing (Electrical Administrators Program)

Electrical Administrator license (e.g. Unlimited Commercial Wiring (UCW) or Residential Wiring (RW) category), assigned to a registered contractor

Per AS 08.40.090(a), a person may not act as an electrical administrator without a department license; an electrical administrator must be assigned to a licensed/registered contractor (application form 08-4899).

FeeAmount
Electrical administrator application fee(nonrefundable, per category)one-time$150
Electrical administrator initial license fee2 years (initial biennial period)$170
Construction contractor registrationapplication fee (nonrefundable)one-time$100
Construction contractor certificate of registration fee2 years (initial biennial period); renewal $250 per 2 years$250
Electrical administrator renewal fee2 years$170

12 AAC 02.210 (electrical administrators); form 08-4899 (Rev. 06/25/2025) confirms $150 + $170 = $320. Contractor registration fees from 12 AAC 02.180 (specialty contractor). Exam fee (vendor) not stated on pages. Journeyman electrician certificates of fitness (Dept. of Labor) not covered here.

Keeping the license

Renewal
Electrical administrator licenses are issued for two years and expire December 31 of odd-numbered years, whatever the issue date. commerce.alaska.gov
Continuing ed.
To renew, an electrical administrator must complete at least one 8-hour continuing-education workshop (or approved equivalent study) each two-year licensing period on the National Electrical Code (or the National Electrical Safety Code for linework) for each category held (12 AAC 32.315). akleg.gov
Reciprocity
Alaska has no named-state reciprocity list for electrical administrators; instead it waives the exam (license by credentials) for an applicant licensed as an electrical administrator or equivalent in any other state who passed an equivalent exam and meets Alaska’s qualifications (AS 08.40.120(b)). akleg.gov

Beyond the trade license

Contractor registration, bond and insurance the state asks of a trade shop

Registration
Every Alaska contractor must hold a construction contractor certificate of registration from the Department of Commerce, Community, and Economic Development before bidding or working (AS 08.18.011), with no job-value floor. A shop registers as a mechanical contractor (plumbing/HVAC) or electrical contractor, and the registration is issued only if the business is, or employs, a licensed mechanical or electrical administrator (AS 08.18.026, 08.18.028). akleg.gov
Bond
$10,000A mechanical or specialty contractor must file a $10,000 surety bond with the contractor registration (AS 08.18.071); a general contractor files $25,000, a residential-only general contractor $20,000, and a contractor limited to projects of $10,000 or less files $5,000. akleg.gov
Insurance
$100,000When applying for or renewing the contractor registration, a contractor must show workers’ compensation coverage (to the extent AS 23.30 requires) and liability insurance of at least $20,000 property damage, $50,000 injury to one person and $100,000 injury to more than one person (AS 08.18.101). The liability requirement does not apply to a contractor whose every project is $2,500 or less. akleg.gov

Board and statute pages read

State or city license?

State and local Who licenses the trades in Alaska

The state registers contractors and licenses mechanical and electrical administrators, and cities may license too: the Municipality of Anchorage requires its own municipal contractor license (plumbing, mechanical and electrical licenses issued only in the categories on the state license) and municipal qualification cards, by municipal exam, for plumbing, gas-piping and sheet-metal contractors and journeymen. A city may not require a state-registered contractor to post a bond for a similar local license (AS 08.18.061). muni.org · akleg.gov

State and city pages read

What Alaska law says about lien rights on private jobs — the notices, the deadline to file and the deadline to sue — and whether a statute sets payment deadlines or caps retainage. Read from the statute itself; it is not legal advice.

Mechanic’s lien

AS 34.35.050 to 34.35.120Title 34, Chapter 35, Article 2. Mechanics and Materialmen

You, hired by the owner
No notice to startNo notice is required to keep lien rights. Under AS 34.35.064 any claimant, including a contractor who deals with the owner, may give the owner a written notice of right to lien before furnishing labor or materials; it shifts the burden of proof to the owner on knowledge and consent and gives longer filing time if the owner records a notice of completion. akleg.gov
Subs and suppliers
No preliminary noticeA notice of right to lien is optional for subs and suppliers too (AS 34.35.064), but it matters: if the owner records a notice of completion, a claimant who has not given one must record a claim of lien or notice of right to lien within 15 days after the notice of completion is recorded (AS 34.35.068(b)). akleg.gov
File the lien
120 daysIf the owner has not recorded a notice of completion, record the claim of lien within 120 days after you complete the contract or stop furnishing labor or materials (AS 34.35.068(a)). If a notice of completion is recorded, the deadline can drop to 15 days after its recording, unless you gave a notice of right to lien and did not get the owner’s advance notice (AS 34.35.068(b)). akleg.gov
Enforce it
6 monthsThe lien expires 6 months after the claim of lien is recorded unless you sue in superior court within that time, or within 6 months after recording an extension notice during the original 6 months (AS 34.35.080, 34.35.110). akleg.gov

Statutes read

Payment deadlines and retainage

Private jobs (public contracts have their own rules)

Prompt payment
No private-job statuteNo Alaska statute sets payment deadlines on private jobs. The prompt-payment rules in AS 36.90.200–36.90.260 (30 days for the owner, 8 working days for the prime to pay subs, interest) apply only to public construction and public works contracts, and the lien article (AS 34.35.050–34.35.120) has no payment-timing rule. akleg.gov
Retainage
No private-job capNo Alaska statute caps or times retainage on private jobs; the retainage rules in AS 36.90.210 and 36.90.250 cover public construction and public works contracts only. akleg.gov

Statutes read

Heating and cooling season in Alaska

Degree days, NOAA’s index of the energy it takes to heat or cool a building: each degree a day’s mean temperature falls below 65 °F is one heating degree day, each degree above is one cooling degree day. Thirty-year normals for Anchorage airport, month by month.

Heating degree days
9,979
Cooling degree days
8
Nights ≤ 32 °F
186
Days ≥ 90 °F
0
Normal heating and cooling degree days (base 65 °F) and freezing nights by month at Anchorage airport, NOAA 1991–2020 normals
MonthHeatingCoolingNights ≤ 32 °F
Jan1,493030
Feb1,225027
Mar1,215029
Apr825019
May52203
Jun2752–
Jul1745–
Aug2361–
Sep47103
Oct888018
Nov1,242027
Dec1,414031

Heating carries the load at Anchorage airport: 9,979 heating degree days a year against 8 cooling degree days, peaking in January (1,493).

The lightest months for heating and cooling together are July and August (178 and 237 degree days).

Nights at or below 32 °F: about 186 a year, ten or more a month in October through April; 19 at or below 0 °F. Days reaching 90 °F: fewer than one a year.

NOAA’s population-weighted state figures cover only the 48 contiguous states, so Alaska is shown by this station alone.

Station: Anchorage airport (USW00026451), NOAA NCEI U.S. Climate Normals 1991–2020 — station file. Bars share one scale: the longest is 1,493 degree days. Read .

Sources

Each page opened on the date shown. License, registration, lien and workers’ comp sources are linked beside each fact above. Figures change: the agency’s own page wins over this one.

  1. May 2025 State Occupational Employment and Wage Estimates (state file oesm25st)U.S. Bureau of Labor Statistics · read October 28, 2026
  2. Occupational Employment and Wages — May 2025 (news release USDL-26-0725, May 15, 2026)U.S. Bureau of Labor Statistics · read October 28, 2026
  3. Public Data API (national OEWS series for the three occupations)U.S. Bureau of Labor Statistics · read October 28, 2026
  4. Unemployment insurance tax rates (labor.alaska.gov)Alaska Department of Labor and Workforce Development (Employment Security Tax) · read October 28, 2026
  5. Significant Provisions of State Unemployment Insurance Laws, Effective July 2026U.S. Department of Labor, Office of Unemployment Insurance · read October 28, 2026
  6. Alaska Sales Tax InformationAlaska Department of Commerce, Community, and Economic Development, Office of the State Assessor · revised June 11, 2025 · read October 24, 2026
  7. Alaska Statutes Sec. 29.45.650, Sales and use taxAlaska State Legislature · no date shown · read October 24, 2026
  8. AS 34.35.050 to 34.35.120 — Title 34, Chapter 35, Article 2. Mechanics and MaterialmenOfficial state code · read November 4, 2026
  9. Workers’ compensation coverage requirementsAlaska Department of Labor and Workforce Development, Division of Workers' Compensation · read November 4, 2026
  10. U.S. Climate Normals 1991–2020, Anchorage airport (USW00026451)NOAA National Centers for Environmental Information · read November 4, 2026