Calculating the Cost of Living in Anchorage, Alaska
Living in Anchorage, Alaska can be a unique and enriching experience, with a lower cost of living compared to many states within the '48 contiguous states. However, understanding the actual cost can be a valuable step for those considering a move. In this article, we will explore the various methods to gauge the cost of living in Anchorage, Alaska, including how to check the Department of Labor and Consumer Price Index (CPI), as well as comparing local grocery prices and apartment rentals.
Checking the Department of Labor and CPI
To get an accurate picture of the cost of living in Anchorage, Alaska, it's a good idea to consult the Department of Labor and Consumer Price Index (CPI). These resources provide essential data that can help you understand the cost of goods and services in the area. You can find this information on official government websites or by contacting local labor departments.
For instance, the CPI in Anchorage can be calculated by comparing the cost of a basket of goods and services over time. This index is useful for determining how much a typical household might spend on groceries, housing, transportation, and other necessities.
Unofficial Methods for Estimating Costs
In addition to official data, you can gather a more practical sense by taking an unofficial tour of local grocery stores like Safeway or Fred Meyer. Inspect the prices of common items such as a carton of milk, a loaf of bread, or produce, and compare these to their counterparts south of the Arctic Circle. This hands-on approach can give you a clearer idea of what everyday purchases will cost.
For housing, particularly renting an apartment, you can use online resources to compare prices in Anchorage with those in other states. Websites like Zillow, , or real estate listings in local newspapers such as the Anchorage Daily News can provide detailed comparative information. Additionally, keep in mind that there is no state or local sales tax in Anchorage, which can significantly cut down on the overall cost of living.
Benefits of Living in Anchorage, Alaska
Living in Anchorage comes with several financial advantages. Not only is the cost of living generally lower, but there are also additional perks. For instance, since Alaska does not have state income tax, your take-home pay can go further. Furthermore, you can look forward to receiving an annual dividend check from the state government, a program that has been in place since 1982. In 2015, the dividend payment was $1,072, and residents have received checks higher than $800 since 1988.
Additional Resources and Insights
Several resources can provide you with up-to-date information on the cost of living in Anchorage. For example, websites like the SmartAsset offer detailed reports comparing Anchorage to other cities in the United States. The Alaska Dispatch News also provides useful information, including employment sections that can help you compare salaries in Anchorage with other locations.
When visiting Anchorage, you might find it to be more affordable than other tourist areas, such as the Florida panhandle where you grew up. Twenty years ago, I noticed that grocery and housing costs were cheaper in Alaska compared to the areas I was familiar with.