South Dakota Pay Stub Requirements & Payroll Taxes

South Dakota has no income tax and no pay stub law, but it sets its own minimum wage — $11.85 an hour for 2026, indexed to inflation — with half of it allowed as a tip credit. Beyond that the state follows federal rules: no state overtime, break or paid sick leave requirements.

It's a general guide, not legal or tax advice. For your specific situation, check the source links below or talk to a licensed payroll, tax, or employment-law professional.

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Is a pay stub required in South Dakota?

South Dakota's wage payment chapter (SDCL 60-11) does not require employers to give employees an itemized pay stub or wage statement. Federal law still requires accurate payroll records, and most employers provide a stub so employees can see their federal withholding and other deductions.

No state pay stub requirement (SDCL ch. 60-11)

Penalty for non-compliance (SDCL 60-11-7): In an action for unpaid wages, if a private employer's refusal to pay was oppressive, fraudulent or malicious, the employee can recover double the wages owed.

How often must employees be paid?

Every employer must pay all wages due at least once each calendar month, or on regular pay days agreed and designated in advance. Wages may be paid by check, cash or direct deposit unless the employer and employee agree to another form of payment.

Source: SDCL 60-11-9

South Dakota minimum wage

South Dakota's minimum wage is adjusted for inflation every January 1 under a 2014 ballot measure. It is $11.85 an hour for 2026.

$11.85 per hour statewide, effective January 1, 2026South Dakota cities do not set their own minimum wages.

Tipped employees: at least $5.925 per hour — half the minimum wage — with tips making up the rest. Employers must keep a record of tips received.

Source: SDCL 60-11-3; South Dakota Department of Labor and Regulation

Overtime & double time

South Dakota has no state overtime law; the federal Fair Labor Standards Act governs overtime.

Trigger	Pay rate
Daily overtime	No daily overtime rule.
Weekly overtime	1.5× the regular rate for hours beyond 40 in a workweek, under the federal FLSA.
7th consecutive workday	No seventh-consecutive-day rule.

Source: Fair Labor Standards Act, 29 U.S.C. § 207

Meal & rest break requirements

South Dakota does not require meal breaks for adults. Where an employer gives a bona fide meal period with the employee relieved of duty, federal rules allow it to be unpaid.

South Dakota does not require rest breaks. Short breaks of about 5 to 20 minutes that an employer allows are paid time under federal law.

If a break is missed:No premium pay is owed for missed breaks.

Source: No South Dakota adult break statute; 29 C.F.R. §§ 785.18–785.19

South Dakota state income tax

South Dakota does not levy a personal income tax, so no state income tax is withheld from paychecks.

Source: South Dakota Department of Revenue

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Vacation & paid time off (PTO)

South Dakota does not require paid vacation. Whether unused vacation is paid at separation follows the employer's policy or the employment contract.

Vacation pay the employer has promised under its policy can be claimed like other wages due.

"Use-it-or-lose-it" policies:Allowed if the policy says so.

Paid out at termination?Only if the employer's policy or agreement provides for it.

Source: No South Dakota vacation statute; terms set by employer policy or contract

Final paycheck rules

South Dakota uses the same rule whether the employee is let go or resigns: final wages are due by the next regular payday for those hours — or, if later, once the employee returns all employer property in their possession.

Situation	Final wages due
Fired or laid off	By the next regular payday (or when the employee returns employer property, if later)
Quits (with or without notice)	By the next regular payday (or when the employee returns employer property, if later)

Late final pay:There is no per-day waiting-time penalty, but double damages are available when an employer's refusal to pay wages is oppressive, fraudulent or malicious (SDCL 60-11-7).

Source: SDCL 60-11-10; SDCL 60-11-11

Other South Dakota payroll taxes employers should know

South Dakota has no state disability insurance or paid family leave payroll tax. Employers pay reemployment assistance (unemployment insurance) tax to the Department of Labor and Regulation.

Tax	Rate	Notes
Reemployment Assistance tax (employer-paid)	Experience-rated; most new employers pay 1.2% in their first year. New construction employers pay 6.0% plus a 0.55% investment fee in year one, then 3.0% plus 0.55% in years two and three	2026 taxable wage base is $15,000 per employee. An administrative fee of 0.08% also applies from 2026.

Source: South Dakota Department of Labor and Regulation — Reemployment Assistance Tax FAQ

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Common questions about South Dakota pay stubs

What is South Dakota's minimum wage in 2026?

$11.85 an hour, adjusted for inflation every January. Tipped employees can be paid $5.925 if tips bring them to the full rate.

Why is there no state tax on my South Dakota pay stub?

South Dakota has no personal income tax, so only federal income tax, Social Security and Medicare are withheld by law.

Does South Dakota require paid sick leave or breaks?

No. South Dakota has no paid sick leave or break law for adults; both depend on the employer's policy.

Does South Dakota require pay stubs?

No South Dakota statute requires an itemized pay stub, though most employers provide one through their payroll service.

Guides that go with this page

South Dakota's rules decide what has to appear on the stub. These cover what the figures on it actually mean, wherever you work.

What a pay stub is, line by line — Every section of a stub and what each figure means.
Gross pay vs. net pay — Why the amount that reaches your bank is a quarter smaller than your salary.
Social Security and Medicare in 2026 — The federal payroll taxes that apply in every state, and the wage base that stops one of them.
Budgeting from take-home pay — Working from real pay dates instead of a salary divided by twelve.

Sources & references

Every figure on this page links back to the primary source below. State and federal payroll rules change — always confirm current-year figures directly with the agency before relying on exact dollar amounts.

Last checked: October 2026. See our editorial standards & sources for how these figures are verified.