Living on minimum wage · South Dakota
Living on Minimum Wage in South Dakota
A full-time job at South Dakota’s $11.85 minimum wage pays $24,648 a year. After federal taxes that is about $1,819 a month, the 26th-highest take-home of the 51 states and DC.
- Take-home a month $1,819 single, after federal tax
- Take-home a year $21,833 89% of $24,648
- Real hourly pay $10.50 after tax, of $11.85
- Work for $100 of goods 10.1 hrs incl. 6.2% sales tax
From gross pay to take-home
| Year | Month | Every 2 weeks | |
|---|---|---|---|
| Gross pay | $24,648 | $2,054 | $948 |
| Federal income tax | −$930 | −$77 | −$36 |
| Social Security & Medicare | −$1,886 | −$157 | −$73 |
| Take-home | $21,833 | $1,819 | $840 |
Figures assume 40 hours a week for 52 weeks, a single filer and the 2026 standard deduction. South Dakota does not tax wages, so this is close to the full take-home figure, before any local taxes. For a different situation, use the take-home pay calculator.
Compared with the federal minimum
A full-time worker in South Dakota takes home about $7,906 more a year than someone paid the $7.25 federal minimum, who keeps $13,926. The highest take-home is in District of Columbia, at $32,842. See this state’s rate history and rank on minimum wage in South Dakota.
What spending costs in hours of work
The combined sales tax in Sioux Falls is 6.2%, so $100 of taxable goods costs $106.20 at the register. At $10.50 of take-home pay an hour, that takes about 10.1 hours of work, the 24th-shortest of the 51 states and DC.
Rates differ across the state; see sales tax in South Dakota for other cities.
Two earners
A couple who both work full-time at minimum wage and file jointly earn $49,296 and take home about $3,639 a month after federal taxes.
How big a mortgage minimum wage supports
Lenders commonly cap housing costs at 28% of gross pay. At this week’s 6.76% 30-year rate, that lets one full-time earner here borrow about $88,580 and a two-earner couple about $177,161, before property tax and insurance. See what a $175,000 mortgage costs month to month.
Minimum wage in South Dakota: take-home FAQ
What is take-home pay on minimum wage in South Dakota?
Full-time at $11.85 an hour, 40 hours a week for 52 weeks, earns $24,648 a year. After $930 of federal income tax and $1,886 of Social Security and Medicare, a single filer takes home about $21,833, or $1,819 a month. South Dakota does not tax wages, so this is close to the full take-home figure, before any local taxes.
How much federal tax does a minimum wage worker pay in South Dakota?
About $930 of federal income tax and $1,886 of Social Security and Medicare, using 2026 brackets and the standard deduction for a single filer. Together that is 11% of gross pay.
How long does a minimum wage worker in South Dakota work to buy $100 of goods?
The combined sales tax in Sioux Falls is 6.2%, so $100 of taxable goods costs $106.20 at the register. At a take-home rate of $10.50 an hour, that is about 10.1 hours of work, the 24th-shortest of the 51 states and DC.
Can you afford a mortgage on minimum wage in South Dakota?
Keeping principal and interest to 28% of gross pay at this week’s 6.76% 30-year rate, one full-time minimum wage earner could borrow about $88,580. Two full-time earners could borrow about $177,161, before property tax and insurance.
2026 state minimum wage, 2026 federal brackets for a single filer with the standard deduction, and Social Security and Medicare at 7.65%. State and local income taxes are not included ; this state does not tax wages. Sales tax is the combined rate for one downtown ZIP code in Sioux Falls.
Data: U.S. Department of Labor; Internal Revenue Service; State departments of revenue, via APIVerve. Our tables, charts and text are licensed CC BY-NC 4.0: share and adapt them for non-commercial use as long as you credit us. For commercial use or bulk data, use the APIVerve API. See the data terms. Cite as: Digest Your Finances, “Living on Minimum Wage by State”, https://digestyourfinances.com/studies/living-on-minimum-wage/south-dakota/ — based on U.S. Department of Labor; Internal Revenue Service; State departments of revenue. CC BY-NC 4.0.
