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Employment and Taxes

The average annual pay in Anchorage rose 1.9 percent in 1999 to $35,441. Among the nation’s 315 metropolitan areas, Anchorage’s pay level ranked 23rd highest overall, buts its percentage gain in pay was one of the lowest nationwide. The national growth rate for all metropolitan areas was 5.2 percent. Anchorage’s per capita personal income is about $27,914. This compares to Salt Lake City, Utah, at $14,000 and San Francisco, California, at $34,281. The average Alaska income is $24,046. The national state average is $23,196.

Workers in the Anchorage metropolitan area averaged $18.87 per hour during November 1999, according to the U.S. Department of Labor’s Bureau of Labor Statistics (BLS). This is $3.15 more than the U.S. average.

White-collar workers averaged $21.14 per hour, blue-collar workers averaged $17.32 per hour, while those working in service occupations earned $12.07 per hour.

The highest paid per-hour occupation in Anchorage is airline pilot at $113.58. However, pilots do not usually average 40 hours per week, so their annual salary totals about $126,245.

The lowest paid occupation in Anchorage is waiting tables at $5.90 per hour. However, the U.S. average is only $4.19 per hour.

Among white-collar workers, engineers, architects, and surveyors averaged $34.97 per hour, registered nurses $24.42, secretaries $14.49, and bank tellers $9.17.

Blue-collar occupations included electricians earning $24.84 per hour, truck drivers at $15.83, and stock handlers and baggers at $9.56 per hour. In the service occupations, cooks averaged $11.22 per hour, nursing aids, orderlies, and attendants $11.05, and maids and housemen averaged $9.66.

According to the Bureau of Labor Statistics, Anchorage’s blue-collar workers are still among the highest paid in the country.

As of May 1999, the average unemployment rate in Alaska was 7.2 percent and Anchorage was at 4.8 percent.

Anchorage residents and businesses enjoy the lowest state and local taxes in the nation. The high level of crude oil royalties and taxes Alaska collects from the oil industry helps ensure that the government is well funded. Most Alaskan families receive more income from Alaska’s Permanent Fund investments than they pay in state and local taxes.

Anchorage has no sales tax and no state income tax. There is, however, an 8 percent bed tax, in addition to a flat aircraft tax, rental car tax, alcohol tax, fuel tax, and tobacco tax.

Property tax varies throughout the city and is a flat rate per dollar value of taxable property residents own.

The flat rate, called a mill levy or mill rate, is $1 of tax per $1,000 of assessed value. If you are taxed four mills for education and your house is assessed at $100,000, you pay $4 per $1,000 of assessed value, or $400 in taxes.