South Dakota Minimum Wage Covers Less Than 60% of Basic Living Expenses, Study Finds
A study by SmartAsset found that South Dakota's minimum wage of $11.85 per hour, equating to an annual income of $24,648 for a full-time worker, covers only 58% of the estimated $42,703 needed for basic living expenses for a single…
Rapid City, SD, November 4, 2026 — A recent study conducted by SmartAsset indicates that South Dakota’s current minimum wage is insufficient to cover the basic living expenses for a single adult without children in the state. The findings highlight a significant gap between the earnings of minimum wage workers and the cost of living.
According to the study, South Dakota’s minimum wage is set at $11.85 per hour. For an individual working full-time, this translates to an annual income of $24,648. However, the research estimates that the cost of basic living expenses for a single adult, without any dependents, in South Dakota amounts to $42,703 per year.
The SmartAsset analysis reveals that the income derived from the state’s minimum wage covers only approximately 58% of these estimated basic living costs. This suggests a shortfall of $18,055 annually for a minimum wage earner attempting to meet essential expenses.
The study did not provide further details on the specific components included in the calculation of basic living expenses, nor did it offer comparative data for other wage levels or different household compositions. The contractor’s name was not provided by SmartAsset for this specific calculation.
Story summarized from the original created by Tamara Chibe on www.kotatv.com, see more information here.
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