South Dakota has no overtime rule beyond the federal FLSA, so federal law decides your pay. Enter your rate and hours for an accurate South Dakota paycheck estimate: 1.5x after 40 hours a week, no state income tax.
Rules verified November 2026 · Sources: U.S. Department of Labor, South Dakota Department of Labor and Regulation
By Mudassir Khan
South Dakota has no overtime rule beyond the federal Fair Labor Standards Act: nonexempt workers earn 1.5 times their regular rate for hours over 40 in a workweek, with no daily overtime rule. The 2026 minimum wage is $11.85 an hour, and South Dakota has no state income tax at all.
Federal FLSA rules, South Dakota framing. Each workweek stands alone.
South Dakota wage disputes go to the Department of Labor and Regulation. Estimates only. Not tax, legal, or payroll advice. Confirm with your employer or a qualified professional.
South Dakota never passed its own overtime statute, so the Fair Labor Standards Act applies directly: nonexempt employees earn at least 1.5 times the regular rate for hours over 40 in a workweek.
Voters approved annual inflation adjustments in 2014, so the wage moves every January without a new vote. It rose from $11.50 to $11.85 on January 1, 2026, with a $5.925 tipped cash wage, and $12.30 is already set for 2027.
South Dakota is one of nine states with no income tax, so the overtime premium keeps its full value at the state level. State wage law also allows double damages for unpaid wages, which strengthens any claim.
Gross = (40 × rate) + (hours over 40 × rate × 1.5)
| Rule | South Dakota |
|---|---|
| Overtime rule | Federal FLSA only: 1.5 times pay after 40 hours in a workweek |
| Minimum wage 2026 | $11.85 an hour from January 1, 2026 (tipped cash wage $5.925; $12.30 set for 2027) |
| State income tax | None |
| Claim agency | South Dakota Department of Labor and Regulation, Division of Labor and Management |
| Claim deadline | File promptly; federal overtime claims carry the FLSA 2 year window, 3 if willful |
| Worker | Math | Gross |
|---|---|---|
| $11.85/hr, 45 hours | $474.00 + $88.88 | $562.88 |
| $26/hr, 50 hours | $1,040 + 10 × $39 | $1,430.00 |
| $18/hr, 58 hours | $720 + 18 × $27 | $1,206.00 |
| $11.85/hr, 40 hours | 40 × $11.85, no overtime | $474.00 |
Example 1 runs off the 2026 minimum wage: 45 hours pays $474 in regular pay plus 5 overtime hours at $17.78. With no state income tax, the only taxes on that premium are federal income tax and Social Security and Medicare.
The wage adjusts itself. Under state wage law, the Department of Labor and Regulation applies the CPI increase each October and rounds up to the nearest 5 cents. The rate can never decrease, and no city or county may set its own minimum wage, so $11.85 holds statewide.
Double damages are on the table. South Dakota law makes an employer liable for double the unpaid wages when it breaches the obligation to pay. When you file, the claim is not just the missing premium, it can be twice the missing pay.
The 2027 rate is already known. The department announced $12.30 for January 1, 2027 alongside the 2026 figure. Overtime math for minimum wage workers will run off the higher base from the first week of 2027.
Like South Dakota, North Dakota runs on federal overtime math: our North Dakota overtime calculator shows the same rules at a $7.25 floor, and the Nebraska overtime calculator adds a $15 minimum wage to the mix. The federal baseline is explained in the FLSA overtime rules guide.
No. South Dakota has no state overtime statute, so the federal Fair Labor Standards Act decides overtime: 1.5 times the regular rate for hours over 40 in a workweek, for nonexempt employees.
With the South Dakota Department of Labor and Regulation, Division of Labor and Management, using the Claim of Unpaid Wages form, or with the federal DOL. Federal overtime claims keep the FLSA 2 year window, 3 if the violation was willful.
$11.85 an hour from January 1, 2026, with a $5.925 cash wage for tipped workers. The rate adjusts every January with inflation, and $12.30 is already set for 2027.
No. South Dakota has no daily overtime rule. Only the weekly line matters: hours over 40 in a workweek earn 1.5 times the regular rate, no matter how long any single day was.
No. South Dakota has no state income tax, so no state tax comes out of overtime pay. Federal income tax plus Social Security and Medicare taxes still apply to overtime wages in full.
Yes, if nonexempt. A salary alone does not remove overtime rights in South Dakota. Only employees who pass the FLSA exempt duties and salary tests can be denied overtime pay.
Rates and rules checked against these sources in November 2026.
Want the same math without the South Dakota framing? Use the overtime pay calculator. Want the same math without the South Dakota framing? Use the overtime pay calculator. Curious what the no tax on overtime deduction does to a South Dakota paycheck? Try the deduction calculator, with no state income tax the federal deduction goes further here.