South Dakota Paycheck Calculator 2026
State
South Dakota (SD)
Tax Type
No State Income Tax
State Tax Rate
No state income tax
South Dakota State Income Tax Overview
South Dakota is one of 9 states that does not levy a state income tax. Residents only pay federal income tax and FICA (Social Security and Medicare) contributions, making it a popular destination for high earners looking to maximize take-home pay.
How South Dakota Taxes Work in 2026
South Dakota does not impose a state income tax on its residents. This applies to all types of earned income including wages, salaries, and self-employment income. While South Dakota residents enjoy the benefit of no state income tax, they are still subject to federal income tax and FICA taxes (Social Security at 6.2% and Medicare at 1.45%). High earners above $200,000 also pay the Additional Medicare Tax of 0.9%. Workers in South Dakota can further reduce their federal tax burden through pre-tax deductions such as 401(k) contributions (up to $23,500 in 2026) and health insurance premiums.
States With No Income Tax
Like South Dakota, the following states do not levy a state income tax: