Residents in This State Will Get a $1,312 Direct Payment Tomorrow

Many Alaskan residents will receive a direct payment of $1,312 on Thursday as the state issues its Permanent Fund Dividend (PFD).

The dividend is a yearly return of money to residents based on Alaska's mineral revenues. They are generally paid if they intend to stay a state resident indefinitely and aren't a convicted felon. In 2023, the payment was designated to be $1,312 per person.

"The 2023 PFD marks the 42nd year Alaskans have received their share of the state's natural resource wealth," Alaska Department of Revenue Commissioner Adam Crum said in a statement.

Anyone who had an "Eligible-Not Paid" status by Wednesday and didn't receive the 2023 or earlier PFD payment can expect the cash on Thursday. The state started sending its 2023 payments in October.

In 2023, Alaska processed 8,000 more applications than in 2022, according to Crum. In total, the PFD brings $1 billion back into the Alaskan economy.

To qualify, you must be a resident for the entire calendar year of 2023 and cannot claim residency or benefits in any other state since December 31, 2022.

Residents are not eligible if they were sentenced for a felony conviction in 2023; were incarcerated that year because of a felony conviction; or were incarcerated that year because of a misdemeanor conviction and were convicted of a prior felony or two or more prior misdemeanors since January 1, 1997.

Residents also are not eligible if they left the state for more than 180 days that year.

Markus Kraus, a finance expert and the owner of Trading Verstehen, said the Alaskan Department of Revenue has historically made sure residents benefit from the state's oil revenues.

"It's a unique approach to ensure Alaskans benefit directly from their natural resources," Kraus told Newsweek. "The dividend aids in alleviating the high cost of living and boosts local economies through increased spending."

While many other states cannot implement the same payback model because their natural resources differ from Alaska's, Kraus said they could look into other ways of sharing revenue with residents, especially since federal stimulus payments ended several years ago.

Following Thursday's payment, other residents should see their payments come through on February 15 and March 21. Specifically, those who had the "Eligible-Not Paid" status on February 7 will see the check arrive around a week later. The March payments will go to everyone with an application that has the same status by March 13.

In Alaska, a deadline is approaching for the program. The state stops accepting applications for the 2024 payment on March 31. Applications opened on January 1 are accepted via a paper form or online.

The proposed amount for 2024, under Governor Mike Dunleavy's budget, would be more than $3,000, but the specifics have not been approved yet.

Many other states have paid rebates to certain groups as a way to give back money from a budget surplus or to help residents during a time of need.

In California, the Clean Vehicle Rebate Project incentivizes residents to maintain a more sustainable lifestyle by driving electric vehicles. Similarly, New York state offers a Drive Clean Rebate for Electric Cars, and Massachusetts has a MOR-EV program.