South Dakota Wage Rules

South Dakota Minimum Wage 2026

$11.85

per hour since January 1, 2026

South Dakota's minimum wage is $11.85 an hour, in effect since January 1, 2026. South Dakota's minimum wage rises to $12.30 an hour on January 1, 2027.

Reviewed by Slava Akulov, CEO & Co-Founder at Jupid · Last updated: October 2026

Hours and Rate

Up to 40. Hours over 40 in a workweek go in the overtime field.

Paid at 1.5 times the rate ($17.77 an hour).

Gross Pay at $11.85 an Hour

Weekly

$474

Monthly (average)

$2,054

Annual

$24,648

Regular pay (40 h × $11.85)$474/week
Overtime pay (0 h × $17.77)$0/week
Weeks per year52
More than the federal $7.25 minimum+$9,568/year

Gross pay before taxes. For take-home pay after federal, state and payroll taxes, use the South Dakota hourly paycheck calculator.

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South Dakota Minimum Wage at a Glance

2026 minimum wage

$11.85

Since January 1, 2026

Tipped cash wage

$5.93

Tip credit up to $5.92

Next change

$12.30 on Jan 1, 2027

Published rate

Overtime

Weekly

1.5 times the regular rate

Applies to employers of any size. Exemptions include seasonal amusement or recreation businesses, babysitters and outside salespeople.

Local Minimum Wages in South Dakota

No South Dakota city or county has its own minimum wage ordinance.

Tipped Minimum Wage in South Dakota

Employers in South Dakota can pay tipped employees a cash wage of $5.93 an hour and count up to $5.92 an hour of tips toward the $11.85 minimum. If tips fall short, the employer makes up the difference. The cash wage is half the state minimum ($5.925), for employees who customarily and regularly receive more than $35 a month in tips.

Cash wage

$5.93

Maximum tip credit

$5.92

Cash wage plus tips must reach

$11.85

Other South Dakota Minimum Wage Rates

  • Opportunity wage, new hires under 20, first 90 days: $4.25. The federal opportunity wage, which South Dakota allows

Overtime Rules in South Dakota

South Dakota has no state overtime law; federal overtime after 40 hours in a workweek applies. Overtime is paid at 1.5 times the regular rate, so at the $11.85 minimum an overtime hour pays at least $17.77. To work out overtime on any hourly rate, use the overtime pay calculator.

South Dakota Minimum Wage History

EffectiveHourly rate
January 1, 2026 (current)$11.85
January 1, 2025$11.50
January 1, 2024$11.20
January 1, 2023$10.80

South Dakota Minimum Wage in 2027

South Dakota's minimum wage rises to $12.30 an hour on January 1, 2027. South Dakota indexes its minimum wage to the CPI, rounded up to the nearest 5 cents, and announces the new rate by October 15. The tipped cash wage becomes $6.15 on January 1, 2027.

South Dakota Minimum Wage FAQ

Official References

Rates verified against the sources above on October 30, 2026. The calculator shows gross pay only. Industry rates, exemptions and local ordinances can change during the year; check the agency page before setting pay. This page is general information, not legal advice.

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