South Dakota Minimum Wage Calculator

💡 South Dakota Wage Law Essentials

• Standard Minimum Rate: Under SDCL § 60-11-3.2, South Dakota indexes its minimum wage annually based on the Consumer Price Index (CPI-W) rounded up to the nearest 5 cents, setting the baseline at $11.85/hour. The rate cannot decrease.
• 50% Tipped Minimum Cash Wage: Under SDCL § 60-11-3.1, employers must pay tipped employees an hourly direct cash wage of at least 50% of the minimum wage ($5.925/hour), with a maximum tip credit of $5.925/hour for employees customarily earning more than $35/month in tips.
• Tip Shortfall Make-Up: If direct cash wages ($5.925/hr) plus tips average less than $11.85/hr across all weekly hours worked, the employer must cover the entire shortfall.
• Youth Opportunity Training Wage: Under SDCL § 60-11-4.1 and FLSA regulations, newly hired workers under age 20 may be paid an opportunity wage of $4.25/hour during their first 90 consecutive calendar days of employment.
• Overtime Pay: South Dakota relies on federal FLSA rules requiring non-exempt employees to receive 1.5× their regular hourly rate for hours worked beyond 40 in a workweek. For tipped workers, the cash overtime rate is $(1.5 \times \text{Base Wage}) - \text{Tip Credit} = (1.5 \times \$11.85) - \$5.925 = \$17.775 - \$5.925 = \$11.85/\text{hour}$.