Statutory minimum wage in South Dakota (2026)

Last reviewed: 9 October 2026

In short: South Dakota has a state minimum wage of $11.85 per hour for non-tipped employees from 1 January 2026, and $5.925 per hour for tipped employees. The rate is adjusted each year for the consumer price index.

RuleWhat applies
National statutory minimum wageEmployeesYes [1]
Current adult minimum wage (gross)Employees$11.85 per hour [1]
Amount from next change (gross)Employees⚠ Not yet verified
Minimum cash wage for tipped workersEmployees$5.925 per hour cash wage in 2026 (50% of the minimum wage); wage plus tips must reach the minimum wage. Tipped means more than $35 a month in tips. [1]
Next scheduled changeEmployees1 January 2027 [2]
Age bands, reduced rates and exclusionsEmployeesEmployees under 20 may be paid the federal opportunity wage as defined in the Fair Labor Standards Amendments of 1996. [3]

Notes

  • The tipped rate is $5.925 per hour; employers must make sure tipped employees receive no less than the current minimum wage. The rate is adjusted each year for the consumer price index and never decreased.
  • The page says the adjusted rate for the following year is announced on the page no later than 15 October each year; no 2027 rate was listed on 9 October 2026.
  • The rate rises each 1 January with the consumer price index (rounded up to 5 cents) and never falls; the Department publishes the new rate by 15 October.

Sources

  1. South Dakota Department of Labor and Regulation: Employment Laws - Minimum Wage (consulted 9 October 2026) · all sources
  2. South Dakota Legislature: SDCL 60-11-3.2 Annual minimum wage adjustment (consulted 10 October 2026) · all sources
  3. South Dakota Legislature: SDCL 60-11-4.1 Opportunity wage allowed (consulted 10 October 2026) · all sources

National rules that also apply

These rules are set at national level in the United States and apply here too, alongside the rules above. All national rules for the United States

National statutory minimum wageYes (source: U.S. Government Publishing Office (govinfo))
Current adult minimum wage (gross)$7.25 per hour (source: U.S. Department of Labor, Wage and Hour Division)
Age bands, reduced rates and exclusionsA new employee under 20 years of age may be paid not less than $4.25 an hour during the first 90 consecutive calendar days of employment with an employer. (source: U.S. Government Publishing Office (govinfo))

South Dakota and neighbouring states

StateNational statutory minimum wageCurrent adult minimum wage (gross)Age bands, reduced rates and exclusionsNext scheduled changeAmount from next change (gross)
South Dakota
Yes (state law)
$11.85 per hour
Under 20: federal opportunity wage allowed
1 January 2027 (annual CPI adjustment)
⚠ Not yet verified
Iowa
Yes
$7.25 per hour (or federal if higher)
An employer is not required to pay the state hourly wage until the employee has completed 90 calendar days of employment; before that the employer must pay at least $6.35 per hour.
⚠ Not yet verified
⚠ Not yet verified
Minnesota
Yes
$11.41 per hour
$9.31 training wage, under 20, first 90 days
1 January 2027
$11.87 per hour
Montana
Yes
$10.85 per hour
No training wage; farm learners under 18 at 50%
1 January 2027
$11.20 per hour
North Dakota
Yes (state law)
$7.25 per hour
None; vocational students 85% (licence)
⚠ Not yet verified
⚠ Not yet verified
Nebraska
Yes
$15.00 per hour
$13.50 aged 14-15; 75% for student-learners
1 January 2027
⚠ Not yet verified
Wyoming
Yes (state law, $5.15)
$7.25 (federal; state basic rate $5.15)
Under 20: $4.25 for first 90 days
⚠ Not yet verified
⚠ Not yet verified

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General information, not legal advice. Rules change: check the official source before you fly or ride.