Employee Cost: Alaska vs Indiana (2026)

Side-by-side comparison of employer costs, payroll taxes, SUTA rates, and workers' comp.

At a $60,000 salary

Indiana saves $1,340/employee/year

$66,624 in Alaska vs $65,285 in Indiana

Alaska

$66,624

1.11x salary

Indiana

$65,285

1.09x salary

Cost Breakdown Comparison

Based on $60,000 annual salary

Cost Component AK IN Diff
Base Salary $60,000 $60,000
Social Security (6.2%) $3,720 $3,720
Medicare (1.45%) $870 $870
FUTA (0.6%) $42 $42
SUTA (State Unemployment) $942 $143 +$800
Workers' Compensation $1,050 $510 +$540
Total Employer Cost $66,624 $65,285 +$1,340

Tax Rate Comparison

Rate Alaska Indiana
SUTA Rate Range 1.0% – 5.4% 0.5% – 7.4%
SUTA Typical Rate 2.0% 1.5%
SUTA Wage Base $47,100 $9,500
Workers' Comp Rate 1.75% 0.85%
State Income Tax No Yes

What This Means for Employers

For a business hiring at a $60,000 salary, choosing Indiana over Alaska saves $1,340 per employee per year in employer-side payroll costs alone. For a team of 10, that's $13,395 annually.

The biggest difference comes from SUTA (state unemployment tax) — Alaska charges 2.0% vs Indiana's 1.5%. Note that federal taxes (Social Security, Medicare, FUTA) are identical in both states.

These numbers reflect employer-side costs only and don't include benefits, overhead, or the employee's own tax burden. Use the interactive Employee Cost Calculator to model different salary levels and benefits packages.

Cost Comparison at Different Salary Levels

How the gap changes from $30K to $150K

Salary AK Total IN Total Difference
$30,000 $33,462 $32,735 +$728
$40,000 $44,602 $43,585 +$1,018
$50,000 $55,684 $54,435 +$1,250
$60,000 $66,624 $65,285 +$1,340
$75,000 $83,034 $81,560 +$1,475
$100,000 $110,384 $108,685 +$1,700
$125,000 $137,734 $135,810 +$1,925
$150,000 $165,084 $162,935 +$2,150

Click any amount to see the full cost breakdown for that salary and state. Amounts shown from the perspective of AK.

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