There’s a lot to think about when moving to Alaska from New Jersey. From differences in the cost of living to insurance premiums along with getting over to the Alaska DMV to transfer your New Jersey driver’s license and vehicle registration, you’ll want to do some budgeting and planning before you make the move.
Relocalate.com has done the heavy lifting for you. Our expert researchers have compiled the key things you need to know when moving to Alaska from New Jersey. Find out what you can expect to pay in federal and Alaska state taxes, whether you’ll be spending more or less in key cost of living categories, and how long you’ll have to get a new driver’s license and car registration. Plus, you can even get a head start on saving the most money when you move by comparing free quotes for health coverage, car insurance, home/renters insurance, and more.
License & Registration
Transfer your New Jersey driver’s license to Alaska within 90 days.
Transfer your vehicles & get Alaska license plates within 60 days (10 if employed in Alaska).
On this page, you’ll be able to:
- See how the cost of living compares for Alaska and New Jersey.
- Estimate how much more or less you can expect to pay in state and federal income taxes after you move to Alaska.
- Find out what to expect when it comes to Alaska property taxes, buying a home, and home insurance premiums.
- Learn whether you’ll be able to save some money or have to spend a little more in key cost of living categories including groceries, transportation, housing, and healthcare.
- Find out what you’ll need to do with the Alaska DMV to transfer your New Jersey driver’s license and vehicle registration. (And how long you’ll have to do it.)
- Estimate how much it will cost to move from New Jersey to Alaska.
- BONUS: Start saving money today by comparing free quotes for all your new insurance policies in Alaska.
Moving to Alaska from New Jersey Checklist
- 1. Estimate the cost of the move.
- 2. Update your insurance policies.
- 3. Be prepared to transfer your New Jersey license & registration to Alaska.
- 4. Budget and prepare for cost of living changes.
- 5. Change your address and forward your mail through USPS.
- 6. Register to vote.
- 7. Update your new address with your banks, loans, and other accounts.
- 8. Set up your utilities and services at your new home.
Find some more tips and to-dos for Moving to Alaska here.
Cost of Moving from New Jersey to Alaska
Unfortunately moving can be expensive. Moving to a brand new state usually comes with some extra costs.
Use this moving cost calculator to get a rough idea of how much your move from New Jersey to Alaska will cost.
The rough distance between Alaska and New Jersey is 3,406 miles. We’ll use that for our calculations. Select the size of your home that you’ll be moving to get an idea of the costs.
Moving Cost Calculator: New Jersey to Alaska
Remember, this is just a rough estimate. The cost of your move will vary depending on the company you choose, your belongings, and other circumstances.
Update Your Insurance Policies for Coverage in Alaska
Don’t wait! Update your car insurance coverage for Alaska
When you move to Alaska, you’ll want to make sure that you’ll be covered for all of life’s unexpected situations. That means updating your insurance policies with your new address and the minimum requirements for Alaska.
Alaska Car Insurance
One of the first policies you’ll want to update when you move is going to be your car insurance coverage.
In Alaska, the minimum liability coverage is $50,000 bodily injury liability per person, $100,000 bodily injury liability per accident, $25,000 property damage liability per accident.
Average Cost of Minimum Coverage
$421
On average, the annual premium for a minimum liability coverage policy is lower in Alaska. You’ll likely pay less for car insurance in Alaska than you did in New Jersey.
Average Cost of Full Coverage
$1,946
On average, the annual premium for a full coverage auto insurance policy is higher in Alaska. You’ll likely pay more for full coverage in Alaska than you did in New Jersey.
Do you own a motorcycle?
Alaska Home & Renter’s Insurance
Whether you’ll rent or own your new home, you’ll want to make sure you have the right coverage when you arrive.
Let’s face it, accidents happen during a move. Make sure you have the coverage you need to protect your belongings and your house.
Average Cost of Homeowner’s Insurance
$1,056
You can usually expect that the annual premium for home insurance will be lower in Alaska. You’ll likely pay less for your home insurance policy in Alaska than you did in New Jersey.
Will you own or rent your home?
Alaska Health Insurance
You’ll also need to make sure that you and your family have health coverage once you arrive in Alaska.
If you’ll be keeping your job when you move, be sure to ask your employer about any implications for your current health insurance policy.
You’ll need to find out which hospitals and plans are available near your new home. Spend some time researching providers in your area.
Healthcare Costs in Alaska
Higher
Generally, healthcare costs are higher in Alaska. You’ll likely pay more for healthcare in Alaska than you did in New Jersey.
Will you be keeping health insurance with your current employer?
Find Health Coverage ➜
Department of Motor Vehicles (DMV) Tasks when Moving to Alaska from New Jersey
Transfer your New Jersey Driver’s License
within 90 days.
After you’ve moved to Alaska, you’ll need to get a valid driver’s license.
Transfer your New Jersey Car Registration
within 60 days (10 if employed in Alaska).
You’ll also need to transfer your vehicle registration and get Alaska license plates.
When you become a resident of Alaska, you’ll need to transfer your New Jersey driver’s license and vehicle registration.
You’ll also need to update your car insurance policies so that they meet the minimum requirements for Alaska. Sometimes this can come with a rate hike, so it’s always a smart idea to shop around.
The minimum liability coverage you’ll need in Alaska is $50,000 bodily injury liability per person, $100,000 bodily injury liability per accident, $25,000 property damage liability per accident.
You can start comparing car insurance quotes for Alaska for free right here on Relocalate.com.
Transfer Your New Jersey Driver’s License to Alaska
Minimum Age for a Alaska Driver’s License
16 1/2 years old
A standard Alaska driver’s license is available to residents who are at least 16 1/2 years old.
Alaska Driver’s License Expires
every 5 years
You’ll need to renew your driver’s license every 5 years.
Alaska Driver’s License Cost
$20.00
A driver’s license will cost around $20.00.
One of the first things you’ll want to do after becoming a resident of Alaska is to get a driver’s license.
In fact, new residents should apply for their Alaska driver’s license within 90 days.
In Alaska, driver’s licenses are issued by the DMV.
To apply, you’ll need to:
- Complete the Alaska Driver’s License Application.
- Surrender your New Jersey driver’s license.
- Present the necessary proof of identity and residency with your new Alaska address.
- Pass any required testing.
- Take a photo.
- Pay the driver’s license fee.
After applying and passing any necessary tests, you’ll receive a temporary paper license. The Alaska DMV will mail you your new license, and it should arrive within a few weeks.
For official information and for details about scheduling appointments, visit http://doa.alaska.gov/dmv/home.htm.
Alaska Driver’s License Knowledge Exam
Total Questions on the Alaska Driver’s License Test
20 total questions
The Alaska knowledge exam will typically consist of 20 total questions that are based on the driver’s handbook.
Passing Score
80%
You’ll need to score 80% to pass the test.
When you transfer your New Jersey license to Alaska, you should be prepared to pass the driver’s license written exam.
While not every applicant will be required to take the test, it is still a good idea to brush up on traffic laws in Alaska.
Before you visit the DMV, take some time to study the official driver’s handbook for Alaska. While many traffic laws and safety rules are universal from state to state, there are some specifics that may be a little different.
Assuming your New Jersey driver’s license is valid and unexpired, you should not need to take the Alaska driving test.
Is your New Jersey driver’s license valid?
One potential hang up to be aware of is around the validity of your New Jersey driver’s license.
To make things as easy as possible, your New Jersey license should be valid when you apply for a license in Alaska.
Ideally what this means is that you should clear any issues with the New Jersey DMV BEFORE you move.
For example:
- If your New Jersey driver’s license is lost or damaged, you should replace it before moving.
- If your New Jersey driver’s license is suspended or revoked, you should try to reinstate it before you move.
If your New Jersey driver’s license is expired when you go to apply for your Alaska license, it’s possible that the DMV will treat it like a brand new application, which may require a written exam and a road test, plus any other requirements for new drivers.
The bottom line: Try to take care of any issues with your New Jersey driver’s license BEFORE you move and visit the Alaska DMV.
Transfer Your Car Registration from New Jersey to Alaska
If you’re going to bring your car with you when you move, you’ll also need to transfer your New Jersey registration to Alaska.
Vehicle registration and titles are handled by the Alaska DMV.
You can find more specific details for your vehicle registration and official information at http://doa.alaska.gov/dmv/home.htm
Alaska Registration Fee Basis
flat rate
Alaska vehicle registration fees are generally calculated by flat rate.
Registration Base Fee Estimate
$100+
Additional fees may vary based on vehicle type as well as any local fees and taxes.
Alaska Registration Expiration
every 2 years
In Alaska, you’ll need to renew your registration every 2 years.
Front License Plates
Alaska requires that vehicles display a front license plate.
Vehicle Safety Inspections
There is typically no vehicle safety inspection required in Alaska.
Smog & Emissions Testing
Emissions testing is not required for vehicles registered in Alaska.
New residents in Alaska are required to transfer their out-of-state vehicle registration within 60 days (10 if employed in Alaska).
When moving to Alaska with vehicles from New Jersey, you should be prepared to:
- Complete an application for Alaska registration and title.
- Present your current registration documents from New Jersey.
- Provide any other necessary proof of ownership documents (title, lease agreement, lienholder information, etc.)
- Pass any necessary vehicle inspections required for Alaska registration.
- Have a valid Alaska insurance policy for your vehicles.
- Pay the registration fees.
Notify the New Jersey DMV
While it’s not always a requirement, it can be worthwhile to update your address with the New Jersey DMV and notify them that you have moved out of the state.
This can often be done on the DMV website, and will prevent you from receiving any renewal notices for your old driver’s license and registrations.
Taxes in Alaska vs New Jersey
Differences in taxes are a big consideration in any state to state move.
Unfortunately, it’s not all black and white. In order to get the full picture, it’s important to consider all of your potential tax burdens when moving from New Jersey to Alaska including state income tax, property taxes, and sales tax.
Plus, you’ll need to think about how the overall cost of living on key spending categories is going to compare. More on that below.
For example, if you’re a homeowner, it’ll be smart to look at both income tax differences, property tax burdens, as well as average home prices to get a more accurate idea of your tax savings or hike once you move to Alaska.
We’ll cover some key differences in your tax savings and tax hikes when moving to Alaska from New Jersey.
For simplicity’s sake, we’ll be comparing effective tax rates, which simplify the marginal tax rates and tax brackets in each state to look at the estimated average total tax you may be paying.
Note that your tax situation may be much different than the estimates provided here. Use these as a high-level comparison tool.
Federal & State Income Taxes when Moving to Alaska from New Jersey
Overall, you’ll likely be looking at an income tax savings when moving to Alaska from New Jersey.
Alaska Income Tax (effective rates)
0.00% (single) & 0.00% (joint)
Alaska doesn’t have a state income tax.
Effective Rates: Federal + State Income Taxes
17.10%
On average, the effective income tax rate (state + federal) is lower in Alaska. You’ll likely pay less in income tax in Alaska than you did in New Jersey.
Tax Comparison Calculator
Effective income tax rates (Federal + State):
- Alaska: 17.10% (single), 16.25% (joint)
- New Jersey: 22.10% (single), 21.76% (joint)
In Alaska, your tax would be . In New Jersey, your tax would be .
You would pay more in than in .
When comparing your overall tax burdens between states, it can help to look at both the state and federal income tax rates.
Remember, this comparison is looking at the effective rates in order to simplify things.
Here’s a high level look at how your effective tax rates may be different after you move to Alaska from New Jersey
- State Income Tax (single filers): 0.00% in Alaska vs 3.27% in New Jersey
- State Income Tax (joint filers): 0.00% in Alaska vs 3.34% in New Jersey
- Federal + State Income Tax (single filers): 17.10% in Alaska vs 22.10% in New Jersey
- Federal + State Income Tax (joint filers): 16.25% in Alaska vs 21.76% in New Jersey
Sales Tax in Alaska vs New Jersey
Next, it’s helpful to consider the differences in sales tax.
Sales tax is a consumption tax you pay when you buy goods and services. It is typically calculated as a percentage of the final price you pay.
Note that many states have a state-wide sales tax and local governments and municipalities can charge an additional sales tax on top of that. This comparison looks at the state-wide sales tax.
Alaska Sales Tax
0%
Alaska doesn’t have a state sales tax.
The sales tax rate is lower in Alaska. You’ll likely pay less on sales tax in Alaska than you did in New Jersey.
Property Taxes in Alaska vs New Jersey
If you’re a homeowner, or plan to buy a home in Alaska, it’s also a good idea to take a look at the difference in property taxes and home values.
Alaska Property Tax Estimate
1.19%
The property tax rate is lower in Alaska. You’ll likely pay less for property taxes in Alaska than you did in New Jersey.
Home Prices in Alaska
$270,400
On average, the average home price is lower in Alaska. You’ll likely pay less for a house in Alaska than you did in New Jersey.
This is also a good time to back sure you are getting the best deal on your Alaska homeowner’s insurance policy.
How Does the Cost of Living Compare in Alaska vs New Jersey?
Cost of living is another major difference when moving to a brand new state.
Depending on the local industries, geography, region, and population, the price of different goods and services can vary greatly.
Now, the cost of living will also depend on your own lifestyle, spending habits, and which city you move to in Alaska.
Cost of living (COL) indexes are used to compare each state to the national average of 100. The difference between COL values higher or lower than 100 represent the percentage difference from the national average.
We can compare the cost of living indexes for Alaska and New Jersey to get a high level idea of whether we’ll be saving money or have to spend a bit more on the following categories:
- Overall Cost of Living.
- Groceries.
- Housing.
- Utilities.
- Transportation.
- Healthcare.
- Miscellaneous goods and service.
Overall, the cost of living in Alaska is
24.40% more expensive
than the national average, compared to 14.10% more expensive for New Jersey.
Alaska Cost of Living Index
124.4
National Avg: 100
On average, the cost of living is higher in Alaska. You’ll likely pay more for many things in Alaska than you did in New Jersey.
Cost of Groceries
27.40% more expensive
than the national avg.
Typically, the cost of groceries is higher in Alaska. You’ll likely pay more for groceries in Alaska than you did in New Jersey.
Housing Costs
18.10% more expensive
than the national avg.
Generally, the cost of housing (rent/mortgage/etc) is lower in Alaska. You’ll likely pay less for housing costs in Alaska than you did in New Jersey.
Alaska Utilities
48.10% more expensive
than the national avg.
The cost of utilities is typically higher in Alaska. You’ll likely pay more for your monthly utility bills in Alaska than you did in New Jersey.
Transportation Costs
21.90% more expensive
than the national avg.
On average, the cost of transportation is higher in Alaska. You’ll likely pay more on transportation in Alaska than you did in New Jersey.
Healthcare in Alaska
49.80% more expensive
than the national avg.
Generally, healthcare costs are higher in Alaska. You’ll likely pay more for healthcare in Alaska than you did in New Jersey.
Miscellaneous Costs
18.80% more expensive
than the national avg.
The cost of miscellaneous goods and services are generally higher in Alaska. You’ll likely pay more for these things in Alaska than you did in New Jersey.
Relocalate.com Methodology
While big changes like moving to a new state can be exciting, we also know that any move can be stressful. That’s why we created Relocalate.com.
The data and comparisons on this page are designed to give you a high level look at what you can expect when moving from New Jersey to Alaska.
Our free moving tools and calculators are here to help you play around with the numbers so you can start working on a budget for your big move to Alaska.
We’ve crunched the numbers from census data, federal government resources, state and local data, as well as interviews and chats with people who’ve made the move from New Jersey to Alaska.
While there are many things we can’t control when moving to a new state, like the overall cost of living and housing prices, we’ve found that one of the single most effective ways to save money is by getting a better deal on your insurance policies.
That’s why we’ve partnered with trusted insurance providers and some of the best in Alaska to bring your free quote tools that you can access while you plan out your move.
Good luck! We wish you the best as you get settled into your home and start feeling like a Alaska local.