Cost of living comparison (Anchorage, Fairbanks: for rent, utilities, living in)

[jabogitlu]

You may also find that what you bought back home to eat is too expensive up here and you might change your diet - we did.

We eat a lot less meat here than we did down south. We aren't hunters or fishers, so buying a weekly supply of meat at the grocery store is prohibitively expensive.

[AKStafford]

Originally Posted by Dakster

I have heard from people that they think Wasilla will figure out a way to keep the 3% around... But of course that is just speculation.

I remember voting to raise it for the library. It's written into the law that it will go away. They can put another vote before the people, but they won't be able to just extend this one.

Here's the actual language of the city code:

5.16.030 Levy of tax.
A. Subject to the remainder of this chapter, a tax of three percent of the price is levied on all sales, rentals and services made in the city until December 31, 2016 or until $15,000,000 (fifteen million dollars) is available through a combination of sales tax collections and library funding from other organizations and sources, including the State of Alaska, whichever is earlier; and a tax of two percent of the price is levied on all sales, rentals and services made in the city thereafter. (Ord. 13-14 § 2, 2013: Ord. 10-19 § 2, 2010: Ord. 01-55(AM) § 4, 2001: Ord. 01-38(SUB) § 2 (part), 2001)

That's the reason why I voted yes... It wasn't permanent. And it was to raise money, then build. Not float a bond that we pay back with interest over the next 30 years.

[attrapereves]

I live in Missouri currently. My salary as a teacher is less than $40K/year. According to the pay scale at the Anchorage district, my pay would be $57K/year. That's a pretty significant increase. However, I am curious to know how the insurance works. My district pays for my insurance entirely, but some districts only pay a portion. If I have to pay insurance myself, the salary increase may not be worth it.

I am currently paying $700/mo rent for a small 2br house. It's not the greatest place. For a nicer place, rent might be an extra $50-100. The electric bill in summer is around $150 with gas around $35. In winter, the electric goes down to $55 and the gas goes up to around $75.

Missouri takes close to $100/month out of my salary, then there's yearly property tax on vehicles (on my two new cars it's around $600 for both) and homes.

I like living here in MO, but I find the scenery to be boring at times and would prefer a cooler climate. My only concern is feeling secluded. Those living in Anchorage area or Fairbanks, do you ever feel secluded or cut off based on the geographic location of Alaska, even though Fairbanks and Anchorage areas are big enough cities?

[BusyMeAK]

I feel trapped. Take a look at the Alaskaair ticket prices (they are at their lowest level now, during the PFD sale that ends in 4 days, so check after 10/7). Health services cost 30% to 3 times more in the lower 48 and thge quality, as I heard, is, well, worse than it should.

U of A health insurance plan is as follows:
https://www.alaska.edu/files/benefit...0-HDHP-PDF.pdf
Keep in mind, it's not actual insurance, IofA is self-insured and there are pleanty of old tenured guys whose (and spouses' and kids') health care expenses are high (old people require a lot of care especially in Fairbanks climate)

If you are responsible for fuel in Fairbanks, it will be $500/mo in winter time.
All produce is at least a week old - shipped by ferry from Bellingham, then delivered around AK.
If you end up in Fairbanks, let me assure you, there is nothing more boring than cold&almost complete darkness for 4 months in a row.
Scenery in Anchorage is way better, air fares lower, and Anchorage has 4 seasons, while Fairbanks has barely 2 (I would say one with two variations - white winter and a green one).
Good luck.

[RarelyRelocating]

Originally Posted by BusyMeAK

U of A health insurance plan is as follows:
https://www.alaska.edu/files/benefit...0-HDHP-PDF.pdf
Keep in mind, it's not actual insurance, IofA is self-insured and there are pleanty of old tenured guys whose (and spouses' and kids') health care expenses are high (old people require a lot of care especially in Fairbanks climate)

The above is misleading.
The actual link to the UA Health Plan info is: Health Plan | Benefits with a comparison of the different plans at http://www.alaska.edu/files/benefits...Comparison.pdf

Of course it's real health insurance. It doesn't matter that UA is self-insured, the UA plan mechanics are no different from other employers who are self-insured, or from union plans which are also self-insured.

Due to the relatively small size of the UA health insurance pool the rates are more sensitive to catastrophic events within the pool. However, overall the plan provides decent choices at decent rates. It is administered by Blue Cross Blue Shield.

@OP
Housing in the Anchorage bowl is crazy expensive, so the low property taxes aren't that much of a relief. If you want affordable housing then you are looking at an hour+ commute each way (to UAA, if that's where you are headed).

In Fairbanks the housing situation isn't that much better, but the commutes are far shorter, but the cost of living is significantly higher than in Anchorage due to much much higher energy prices.

[attrapereves]

Originally Posted by RarelyRelocating

@OP
Housing in the Anchorage bowl is crazy expensive, so the low property taxes aren't that much of a relief. If you want affordable housing then you are looking at an hour+ commute each way (to UAA, if that's where you are headed).

In Fairbanks the housing situation isn't that much better, but the commutes are far shorter, but the cost of living is significantly higher than in Anchorage due to much much higher energy prices.

Is housing expensive because of people moving to the area? On average, how much is a decent 2br apartment? I think around here they are probably $500 (low end, older) to $800 (really new and nice).

Anchorage does have natural gas, but Fairbanks does not, correct? Do most people use oil or propane heat?

[soldn2slavery]

Housing in Anchorage is expensive for a number or reasons, some of which may be:
* higher pay for the construction folks
* for all the land in the Anchorage bowl, what's buildable already has been built on. There's isn't a whole lot left that is buildable that isn't government owned.
* cost of materials, most of it is shipped up
* cost of building houses suitable for the climate and the terrain.
* and, yes, people want to move there

[Jan Alaska]

Check out craigslist for rental prices, also you might want to ask around about which are the nicer parts of town to rent in. I met a woman who had ended up renting in Fairview, she said seeing hoodlums shoot someone while they sat and ate dinner was the end of it for her, she upped and moved pronto.

Natural Gas and Electricity are going to cost you at least $200/month each over winter and gas prices for your vehicle are substantially higher (just checked gas buddy.com and I'm going to say at least $1 more difference between Missouri and Anchorage)

Healthcare: although good quality costs a whole lot more, make sure you have good coverage. As we found out a simple visit to the doctors in Wasilla with 2 xrays and 5 minutes talking to the doctor cost over $600, we hadn't met our deductible so it was billed to us (with no discount for cash payment). A recent visit to the doctors here in N Michigan same sort of scenario, couple xrays and 15-20 minutes nagging from the doctor gave us a total bill of $250.

A 20K year raise with no state tax to pay might seem like a good deal but when you start adding everything up, including as others have noted the one off expenses (studded tires, apropriate winter clothing etc) that 20K will disappear quite quickly.

[RayinAK]

Originally Posted by BusyMeAK

I feel trapped. Take a look at the Alaskaair ticket prices (they are at their lowest level now, during the PFD sale that ends in 4 days, so check after 10/7). Health services cost 30% to 3 times more in the lower 48 and thge quality, as I heard, is, well, worse than it should.

U of A health insurance plan is as follows:
https://www.alaska.edu/files/benefit...0-HDHP-PDF.pdf
Keep in mind, it's not actual insurance, IofA is self-insured and there are pleanty of old tenured guys whose (and spouses' and kids') health care expenses are high (old people require a lot of care especially in Fairbanks climate)
Healthcare expenses are extremely high in Fairbanks, and the cost of the healthcare plan for University workers have gone up quite a lot. For my wife and I the out of pocket deductible is around $2,100 a year

If you are responsible for fuel in Fairbanks, it will be $500/mo in winter time.
All depends on if you rent an apartment or a house. The heating cost for an apartment is taken care by the landlord on the monthly rent. But if you live in a house and the landlord does not pay for heating fuel, it will cost a lot more than $600.00 per month during the winter months
All produce is at least a week old - shipped by ferry from Bellingham, then delivered around AK.
If you end up in Fairbanks, let me assure you, there is nothing more boring than cold&almost complete darkness for 4 months in a row.
Anywhere in the US where produce is shipped or transported to the stores it takes from three to five days by the time the product in on the shelves.
Scenery in Anchorage is way better, air fares lower, and Anchorage has 4 seasons, while Fairbanks has barely 2 (I would say one with two variations - white winter and a green one).
Good luck.

I have lived in Anchorage and Fairbanks. While the scenery is nicer by Anchorage, it's plenty nice in Fairbanks. All you have to do is to drive out of the city. But you are correct about the winter, since it is a lot colder in Fairbanks. Summers in Fairbanks are warmer and dryer than in Anchorage, and if you enjoy the outdoors and photographing the Auroras, Fairbanks is the place to be

[1986matthew]

Well, compared to what you listed for rents, Anchorage might seem a little expensive. A crummy 2 bedroom apartment in Anchorage will easily run $1200 a month, and more in a nice part of town. Heat and water/sewer included. Definitely look for a place with natural gas, as propane or fuel oil runs about $6 a gallons delivered, and in winter you would use a lot.
Honestly, a lot of what it costs to live depends on your lifestyle though.