Alaska’s minimum wage will increase by 51 cents next year, from $10.34 to $10.85.
The minimum wage is adjusted annually, based on how much the consumer price index for urban consumers in Anchorage increased the previous year. It increased 4.9% in 2021, which means a 4.9% increase in the minimum wage.
The $10.85-per-hour wage goes into effect Jan. 1, 2023.
Alaskans voted to adjust the minimum wage annually for inflation in 2014.
On average last year, Anchorage households spent a total of $72,255 according to the U.S. Bureau of Labor Statistics. That’s compared to the national average of $64,187.