South Dakota (SD) – 2020

South Dakota

Minimum WageSouth DakotaFederal
Minimum Wage$9.30$7.25
Minimum Cash Wage (Tipped Employee)$4.65$2.13
Maximum Tip Credit$4.65$5.12
Youth Minimum Wage$9.30*$4.25
State Income TaxSouth DakotaFederal
Wage WithholdingNone
Supplemental Wage / Bonus RateNone
Unemployment InsuranceSouth DakotaFederal
Maximum 2020 Taxable Earnings (Unchanged from 2019)$15,000
Employee 2020 DeductionNone
Employer 2020 Tax Rates (Plus investment fee)0.0 – 9.35%
Standard 2020 New Employer Rate (Plus 0.55% investment fee)1.2% – 1st year; 1.0% – 2nd & 3rd years
Voluntary Contribution PermittedYes

Federal (FED) – 2020

Minimum WageFederal
Maximum Tip Credit$5.12
Youth Minimum Wage$4.25
Minimum Wage$7.25
Minimum Cash Wage (Tipped Employee)$2.13
Medicare Rate1.45%
Additional Medicare Tax Withholding on Wages > $200,000 (No Employer Match)0.90%
Maximum Taxable EarningsNo Limit
Employee / Employer Tax Rate (Unchanged from 2019)6.20%
Maximum Taxable Earnings (Increased from $132,900 in 2019)$137,700
Normal Net Tax0.60%
Maximum Credit5.40%
Percent of Taxable Wages6.00%
Maximum Taxable Earnings$7,000
Health Savings AccountsFederal
Catch-up Contribution Limit (Employee / Employer) (Unchanged from 2019)$1,000
Family Contribution Limit (Employee / Employer) (Increased from $7,000 in 2019)$7,100
Self-Only Contribution Limit (Employee / Employer) (Increased from $3,500 in 2019)$3,550
Supplemental Wage / Bonus RatesFederal
Pay over $1 Million (Unchanged from 2019)37%
Flat Rate Withholding Method (Unchanged from 2019)22%

South Dakota State Resources

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