Does South Dakota have a state income tax?

No. South Dakota levies no personal income tax and no corporate income tax, one of very few states with neither.

What is deducted from a South Dakota paycheck?

Federal income tax, Social Security at 6.2% up to the wage base, and Medicare at 1.45%. Nothing else. The state withholds nothing and runs no employee-funded disability or paid leave program.

Does South Dakota tax retirement income or Social Security?

No. With no income tax of any kind, pensions, 401(k) and IRA withdrawals, Social Security and investment income are all untaxed at state level.

Does South Dakota have an estate or inheritance tax?

No. South Dakota levies neither, which combined with its trust laws is why a substantial amount of family wealth is administered from the state.

Do I need to file a South Dakota state tax return?

No. There is no personal income tax return in South Dakota. You file your federal return only.

Is my data sent anywhere?

No. The calculation runs entirely in your browser. There is no account, and the salary you type is never sent to a server or stored. It never leaves your device.

United States · South Dakota · Tax year 2026

South Dakota Paycheck Calculator

South Dakota levies no income tax on people or companies. Type your salary to see what federal tax and FICA leave behind.

Take-home per paycheck · 2026

$2,368.94

Paid every two weeks · $61,593 a year

You keep 82% of your gross pay. South Dakota itself takes 0.0%.

This is your 2026 tax for the whole year, spread evenly across 26 paychecks and rounded to the cent. A real payslip can differ slightly from one paycheck to the next: employers withhold using tables that approximate the year's tax rather than match it, and stop taking a contribution once your wages for the year pass its cap.

Effective rate 17.9% of your gross

Marginal rate 22.0% on your next dollar

Total tax $515.68 a paycheck · $13,408 a year

Federal income tax$295.00
FICA$220.68
Take-home$2,368.94

Itemized deductions from gross pay, per paycheck and per year
Deduction	Rate	Per paycheckPer year	Per year
Gross payAnnual salary ÷ 26		$2,884.62$75,000.00	$75,000.00
Federal
Federal income taxAfter the $16,100 standard deduction		−$295.00−$7,670.00	−$7,670.00
Social SecurityCapped at $184,500 of wages	6.20%	−$178.85−$4,650.00	−$4,650.00
Medicare	1.45%	−$41.83−$1,087.50	−$1,087.50
South Dakota
SD income tax		None	None
Total tax		−$515.68−$13,407.50	−$13,407.50
Net pay		$2,368.94$61,592.50	$61,592.50

Per paycheck, each line is its annual amount ÷ 26, rounded to the nearest cent.

What this means

On a salary of $75,000 you keep $61,593 — about 82% of what you earn. The remaining $13,408 is split across three separate deductions.

South Dakota takes none of it. There is no state income tax here, and no state payroll levy either, so every dollar deducted above is federal. The largest is federal income tax at $7,670; Social Security and Medicare account for the remaining $5,738.

Your next dollar would be taxed at 22.0%, all of it federal, while the rate you actually pay across the whole salary is 17.9%. Comparing South Dakota against a state that does tax income, the effective rate is the number to use — the headline bracket overstates the difference.

Show the working, band by band

Every figure above is computed from published 2026 rates for the whole year, then divided across 26 paychecks.

Federal — on $58,900 taxable income

Band	Rate	Taxed here	Tax
$0 – $12,400	10%	$12,400	$1,240.00
$12,400 – $50,400	12%	$38,000	$4,560.00
$50,400 – $105,700	22%	$8,500	$1,870.00

South Dakota tax at a glance, 2026

State income tax: None; And no corporate income tax
Payroll add-ons: None; No employee-side state levy
State sales tax: 4.2%; Around 6.4% with local add-ons
Inheritance tax: None; No estate tax either

What actually comes out of a South Dakota paycheck

South Dakota withholds nothing at state level. No income tax on individuals, no corporate income tax, no local income tax, and no employee-funded disability or paid leave premium.

Three federal deductions remain: income tax after the standard deduction, Social Security at 6.2% up to the wage base, and Medicare at 1.45% uncapped.

There is also no estate tax and no inheritance tax, which matters more here than the phrase usually implies — see below.

Take-home pay at every salary in South Dakota

What a South Dakota salary is worth after federal tax and FICA. With no state layer, these figures hold anywhere in the state — Sioux Falls, Rapid City, Aberdeen and Pierre alike.

Annual take-home pay by gross salary · 2026
Gross salary	Total tax	Take-home (single)	Effective rate	Take-home (married)
$30,000	−$3,715	$26,285	12.4%	$27,705
$40,000	−$5,680	$34,320	14.2%	$36,160
$50,000	−$7,645	$42,355	15.3%	$44,395
$60,000	−$9,610	$50,390	16.0%	$52,570
$75,000	−$13,408	$61,593	17.9%	$64,623
$85,000	−$16,373	$68,628	19.3%	$72,658
$100,000	−$20,820	$79,180	20.8%	$84,710
$125,000	−$28,297	$96,704	22.6%	$104,798
$150,000	−$36,209	$113,791	24.1%	$123,185
$200,000	−$51,073	$148,927	25.5%	$159,321
$250,000	−$66,818	$183,182	26.7%	$197,468

What lands in your account each payday

On $75,000 a year in South Dakota, filing single, split across the pay schedules employers actually use.

Net pay on $75,000 gross · single filer
Pay schedule	Gross	Net
Every week	$1,442	$1,184
Every two weeks	$2,885	$2,369
Twice a month	$3,125	$2,566
Every month	$6,250	$5,133

Why the banks are here

If you have wondered why credit card statements so often carry a Sioux Falls address, the answer is a single decision in 1980.

South Dakota removed its cap on the interest rate lenders could charge. At the time, a Supreme Court ruling meant a bank could export its home state’s interest rules to customers anywhere in the country. Citibank relocated its card operations to Sioux Falls almost immediately, others followed, and a state of under a million people became a center of American consumer credit.

The same instinct shaped its trust law. South Dakota permits perpetual trusts, imposes no state income tax on trust income, and offers unusually strong privacy protections — which is why a considerable amount of family wealth is administered from a state most of its beneficiaries have never visited.

For someone taking a job here, the practical relevance is that financial services form a genuine professional sector in Sioux Falls, alongside healthcare and agriculture. The absence of income tax is not the only reason the economy works.

What South Dakota collects instead

The state sales tax is 4.2%, rising to roughly 6.4% with municipal add-ons — moderate on its face, but it reaches further than in most states. South Dakota taxes a broad range of services that many states exempt, so the effective burden is higher than the headline rate suggests.

Property tax does the rest, and it sits close to the national average — noticeably lighter than Texas, heavier than Wyoming.

The overall position is genuinely favorable, particularly for retirees and for anyone with investment income, since none of it is touched at state level. The reservations about moving here tend to be about climate, distance and the size of the job market rather than about tax.

Deadlines for the 2026 tax year

There is no South Dakota state return to file and no state deadline. Your only obligation is the federal return, due April 15, 2027 for the 2026 tax year. If you are self-employed, federal estimated payments still fall quarterly in April, June, September and the following January.

Questions people ask

Does South Dakota have a state income tax?: No. South Dakota levies no personal income tax and no corporate income tax, one of very few states with neither.
What is deducted from a South Dakota paycheck?: Federal income tax, Social Security at 6.2% up to the wage base, and Medicare at 1.45%. Nothing else. The state withholds nothing and runs no employee-funded disability or paid leave program.
Does South Dakota tax retirement income or Social Security?: No. With no income tax of any kind, pensions, 401(k) and IRA withdrawals, Social Security and investment income are all untaxed at state level.
Does South Dakota have an estate or inheritance tax?: No. South Dakota levies neither, which combined with its trust laws is why a substantial amount of family wealth is administered from the state.
Do I need to file a South Dakota state tax return?: No. There is no personal income tax return in South Dakota. You file your federal return only.
Is my data sent anywhere?: No. The calculation runs entirely in your browser. There is no account, and the salary you type is never sent to a server or stored. It never leaves your device.

Where these figures come from

Every South Dakota number on this page was read from the documents below — the state's own, not a summary of them. Nothing here is estimated. If a figure looks wrong, the source is one click away, and we would rather you checked.

South Dakota Department of Revenuedor.sd.gov
South Dakota Department of Revenue
The taxes South Dakota levies — no personal income tax, and no employee payroll levy.