South Dakota minimum wage 2026–2027: $11.85 now, $12.30 on January 1, 2027
South Dakota's minimum wage is $11.85 an hour, in force since January 1, 2026 – $4.60 more than the federal $7.25. The next change is on January 1, 2027: $12.30 an hour (+$0.45, 3.8%), announced by the state.
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South Dakota minimum wage pay calculator
South Dakota minimum wage rates
| Who | Rate | From | Source |
|---|---|---|---|
| Most workers (state rate) | $11.85 | January 1, 2026 | official |
| Scheduled increase | $12.30 | January 1, 2027 | announcement |
| Tipped workers (cash wage) | $5.93 | now | official |
When does the South Dakota minimum wage go up?
The next change is on January 1, 2027: $12.30 an hour (+$0.45, 3.8%), announced by the state. Adjusted each January 1 by the CPI.
Tipped workers in South Dakota
Employers may pay tipped workers a cash wage of $5.93 an hour and count up to 50% of the minimum wage ($5.92) of tips toward the minimum wage, as long as wages plus tips reach $11.85 for every hour; otherwise the employer pays the difference.
South Dakota minimum wage history
On January 1, 2020 the South Dakota minimum wage was $9.30; today it is $11.85 – up $2.55, or 27.4%.
| January 1 | 2020 | 2021 | 2022 | 2023 | 2024 | 2026 |
|---|---|---|---|---|---|---|
| South Dakota | $9.30 | $9.45 | $9.95 | $10.80 | $11.20 | $11.85 |
How South Dakota compares
South Dakota ranks 26th of the 50 states and D.C. The average statewide minimum wage is $11.53; South Dakota's $11.85 is $0.32 above it. Neighbors: Iowa $7.25, Minnesota $11.41, Montana $4.00–$10.85, North Dakota $7.25, Nebraska $15.00, Wyoming $7.25.
Overtime and pay rules
Overtime follows the federal rule: one and a half times the regular rate for hours over 40 in a workweek. A full-time week at the minimum wage pays $474.00; with 5 overtime hours it is $562.88.
Good to know
- The tipped cash wage is half of the minimum wage (DOL tipped table).
Where to get help
The minimum wage in South Dakota is enforced by the South Dakota Department of Labor and Regulation; wage claims: dlr.sd.gov. The U.S. Department of Labor's Wage and Hour Division takes complaints in every state at 1-866-487-9243, and your name is kept confidential.
South Dakota minimum wage questions
What is the minimum wage in South Dakota right now?
$11.85 an hour for most adult workers. South Dakota's minimum wage is $11.85 an hour, in force since January 1, 2026 – $4.60 more than the federal $7.25.
What will the South Dakota minimum wage be in 2027?
$12.30 an hour from January 1, 2027 – announced by the state.
What is the tipped minimum wage in South Dakota?
Employers may pay tipped workers a cash wage of $5.93 an hour and count up to 50% of the minimum wage ($5.92) of tips toward the minimum wage, as long as wages plus tips reach $11.85 for every hour; otherwise the employer pays the difference.
How much is the South Dakota minimum wage per year?
At $11.85 an hour and 40 hours a week, $474.00 a week, about $2,054 a month and $24,648 a year before taxes. At the 2027 rate of $12.30: $25,584 a year.
Where do I report unpaid minimum wage in South Dakota?
With the South Dakota Department of Labor and Regulation – or with the U.S. Department of Labor's Wage and Hour Division (1-866-487-9243). Keep your pay stubs and a record of your hours.
Other states
Sources: U.S. Department of Labor, Wage and Hour Division – State Minimum Wage Laws, Consolidated Minimum Wage Table and Minimum Wages for Tipped Employees (July 1, 2026 editions), the DOL's history table, and each state's and city's own labor department pages, linked on every state page. Checked October 16, 2026. Rates are for most adult, non-exempt workers; some jobs, industries and employers are exempt or have other rates. This is general information, not legal advice – the state labor department has the final word.