South Dakota Payroll Tax Calculator 2026
South Dakota has no state income tax. Employees pay federal income tax and FICA only.
2026 South Dakota tax rates · FICA · Federal W-4 only
State Income Tax
No state income tax
Social Security
6.2%
Medicare
1.45%
State Form
Federal W-4 only
Calculate Your South Dakota Paycheck
Enter your salary or hourly rate and get a full breakdown: South Dakota state tax, federal income tax, Social Security, Medicare, and exact net pay.
Open South Dakota Payroll Tax CalculatorFree · No signup · 2026 IRS & SD rates
South Dakota Tax Guide
South Dakota Payroll Tax Overview 2026
South Dakota is one of nine states with no state income tax. Employees only pay federal income tax and FICA — there is no state withholding required.
South Dakota has no state income tax and no corporate income tax, making it one of the most business-friendly states in the country.
South Dakota is a popular state for trust formation and financial company headquarters due to its tax structure.
South Dakota Payroll Tax Summary
State Income TaxNo state income tax
Tax TypeNo income tax
Social Security6.2% on first $176,100
Medicare1.45% (+ 0.9% over $200K)
FUTA (employer)0.6% on first $7,000
Employee FormFederal W-4 only
FAQ
South Dakota payroll tax questions
Does South Dakota have a state income tax in 2026?
No. South Dakota is one of nine states with no state income tax. Employees who live and work in South Dakota pay zero state income tax on their wages. They still owe federal income tax and FICA (Social Security and Medicare).
What taxes do South Dakota employees pay on their paycheck?
South Dakota employees pay: (1) Federal income tax (based on W-4 withholding); (2) Social Security tax (6.2% on wages up to $176,100); (3) Medicare tax (1.45%, plus 0.9% on income over $200,000); The employer matches the Social Security and Medicare portions.
What payroll withholding form do South Dakota employees use?
South Dakota employees only need to complete the federal W-4 form — there is no state income tax withholding form because South Dakota has no income tax.
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