Stimulus Checks Hitting Bank Accounts: Receive $1,702 in Cash This March!

If you live in Alaska, now is the time to submit applications for new stimulus checks that could be credited to your bank account following the application period in March. The annual Permanent Fund Dividend (PFD) is a financial support initiative funded by the state’s oil revenues, aimed at benefiting residents.

However, the specific amount each Alaskan will receive from this year’s distribution of oil wealth remains undecided.

Statements from Governor Mike Dunleavy on the Payments

Alaska’s Governor, Mike Dunleavy, has suggested that each resident might receive around $3,900, although the exact figure will be finalized during the legislative session. To cover this payment, it would be necessary to withdraw over $1.5 billion from the state’s primary non-permanent savings account, the Constitutional Budget Reserve.

Dunleavy’s proposal uses an older formula that has not been utilized for over a decade according to state law. Should the legislators choose a more recent method—assigning 25% of the state’s annual drawdown from the Alaska Permanent Fund—the PFD would be closer to $1,400.

Insights into the Alaska Permanent Fund Dividend

The PFD is designed to distribute funds to eligible Alaskan residents from the state’s oil revenue profits. Established in 1976, the Alaska Permanent Fund Dividend aims to share a portion of the state’s resources with its citizens.

The amount of the PFD varies each year depending on factors like oil revenues and state investments. The PFD amount for 2024 was higher than that of 2023. However, this year’s estimated PFD amount is the same as in 2024 and significantly lower than in 2022.

Impact of PFD Checks on the Alaskan Economy

The recent $1,702 stimulus checks have provided substantial economic benefits. With these funds, residents can manage daily expenses. The PFD checks help cover rent, mortgage payments, or utility bills, and they can also support medical expenses, educational fees, or the purchase of school supplies.

It is often recommended that Alaskans save a part of their PFD checks for future needs. While there are several benefits to the PFD checks, debates continue over whether residents should receive larger shares of the state’s oil wealth. Some suggest that instead of direct payments, the funds should be channeled into healthcare and education. Lawmakers also debate the long-term sustainability of these payments.

Eligibility for the Upcoming Stimulus Checks

To qualify for the PFD stimulus check, applicants must have been residents of Alaska throughout the entire year of 2024. Those absent from Alaska for more than 180 days generally do not qualify, unless the absence was due to approved reasons like military service, education, or medical treatment. Individuals convicted of a felony in the past year are also ineligible.

As per the official Alaska Department of Revenue website, Alaskans can still apply for these stimulus checks during the application period from January 1 to March 31, 2025. Applications submitted after this period will not be accepted.

Recipients can expect their payments by October 2025. It’s important to remember that the Internal Revenue Service (IRS) considers the PFD stimulus checks as taxable income.