If you file bankruptcy in Alaska, here is the rule that sets this state apart: Alaska is one of the minority of states that lets you choose between the Alaska state exemptions (found in Alaska Statutes Title 9, Chapter 38) and the federal bankruptcy exemptions in 11 U.S.C. § 522(d). Most states have "opted out" and force you to use the state list, but Alaska has not opted out. That choice matters, because Alaska's homestead protection is comparatively modest while its personal-property protections are broad. Under AS 09.38.010, Alaska's homestead exemption protects a base of $54,000 of equity in your principal residence — and, unusually, Alaska adjusts its exemption dollar amounts for inflation by regulation, so the current figure is higher than the statutory base. Always confirm the latest adjusted numbers before you rely on them.
What "exemptions" actually do
When you file a Chapter 7 or Chapter 13 case, everything you own becomes part of the bankruptcy estate. Exemptions are the legal tool that pulls specific property back out so you keep it. In a Chapter 7 liquidation, exempt property is protected from the trustee; non-exempt equity can be sold to pay creditors. In a Chapter 13 repayment plan, exemptions help set the minimum you must pay unsecured creditors. Choosing the right set of exemptions is one of the most consequential decisions in a consumer bankruptcy, and in Alaska you genuinely get to choose.
The Alaska state exemptions (AS 09.38)
Alaska's exemptions live in AS 09.38. The dollar amounts you see in the statute are baseline figures; the Alaska Department of Administration periodically updates them for inflation by regulation (8 AAC 95.030), and the regulation-adjusted amounts control. Because of that, treat the numbers below as the statutory starting point and verify the current adjusted values before filing.
Homestead
Under AS 09.38.010, you may exempt up to $54,000 of equity in your principal residence (your home, including certain manufactured homes). Note that this is an equity figure, not the home's value — if your mortgage soaks up most of the value, you may have little non-exempt equity to worry about. Alaska does not offer the unlimited or very large homestead that a handful of states (like Florida or Texas) provide. For comparison, the federal homestead exemption under § 522(d)(1) is adjusted every three years and is in the low-$30,000s as of 2025; a married couple filing jointly can generally each claim a homestead, doubling the protection. Confirm the current Alaska figure with the official source, because inflation adjustments have pushed it above $54,000.
Motor vehicle
AS 09.38.020 protects equity in one motor vehicle, with a base exemption of about $4,000, available only if the vehicle's full market value does not exceed roughly $27,000. If your car is worth more than that cap, the Alaska vehicle exemption is unavailable and you may do better claiming the vehicle's equity under the federal set. As with every figure here, the regulation-adjusted amounts run higher than the statutory base, so check the current numbers.
Personal property and household goods
AS 09.38.020 exempts a range of everyday property up to capped amounts, including:
- Household goods, clothing, books, musical instruments, family portraits, and heirlooms — protected in the aggregate up to a statutory cap (base around $4,000).
- Jewelry — up to a separate cap (base around $1,400).
- Pets — Alaska specifically protects pets up to a capped value (base around $1,400).
- Tools of the trade and professional books — the implements, books, and tools you need for your work, up to a cap (base around $3,500–$3,640).
Alaska also exempts items most states protect regardless of value, such as ordinary necessary health aids, certain prescribed health benefits, burial plots, and tuition payments under an advance college tuition program.
Earnings, cash, and the missing "wildcard"
Alaska does not have a broad, use-it-on-anything "wildcard" exemption the way the federal system does. Instead, AS 09.38.030 protects a portion of your earnings and liquid assets. Wages are protected up to a weekly floor of net earnings (a regulation-adjusted figure in the range of roughly $470–$490 per week as of recent updates), and if you are not receiving weekly earnings you may protect a capped amount of cash or liquid assets instead. Retirement accounts and many pensions also receive strong protection under AS 09.38.017. Because Alaska lacks a generic wildcard, filers with significant non-exempt cash, a second vehicle, or valuable miscellaneous property often prefer the federal exemptions, which include a wildcard.