Cost of Living in South Dakota (SD)

Compare costs across 3 South Dakota cities. From home services to salaries, see how SD stacks up against the national average.

3
Cities
91
Avg Cost Index
$55K
Avg Income
Direct Answer

Is South Dakota Affordable?

South Dakota's average cost index is 91, which is below the national baseline of 100. Pierre is the most affordable tracked city in SD at index 90, while Sioux Falls is the most expensive at index 92.

The gap between the cheapest and most expensive tracked cities is 2 index points, so state-level averages should be used as a map, not a final budget.

State cost overviewBLS, Census, HUD inputsLast verified May 2026
South Dakota Highlights: Most affordable city: Pierre (index 90). Most expensive: Sioux Falls (index 92). The gap between cheapest and most expensive is 2 index points.

What Drives the Statewide Cost Picture?

Average index
91/100

South Dakota is below the national cost baseline across tracked cities.

Cheapest city
Pierre

Pierre has a cost index of 90.

Most expensive
Sioux Falls

Sioux Falls has a cost index of 92.

Income average
$55K

Average median household income across 3 tracked SD cities.

Cheapest and Most Expensive Cities in South Dakota

CityPopulationCost IndexMedian IncomeTier
Sioux Falls193K92$59Kmid
Rapid City78K92$52Ksmall
Pierre14K90$55Ksmall

South Dakota State Taxes (2026)

Headline tax rates that affect your real take-home pay and total cost of living in South Dakota.

State Income Tax
0%
No income tax
Combined Sales Tax
6.4%
4.5% state + 1.9% avg local
Property Tax (Effective)
1.28%
~$3,840/yr on a $300K home
Tax friendly: South Dakota has no state income tax - workers keep more of their paycheck. No state estate tax. Estimate your take-home pay

State Planning Checklist

  1. Start with Pierre if the priority is lowest recurring cost inside South Dakota.
  2. Compare Sioux Falls against salary and tax advantages before assuming the higher-cost city is worse.
  3. Use city pages for rent, salary, insurance, and local service costs before making a relocation decision.

Cost by Category Across South Dakota

Compare Cities Within South Dakota

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Frequently Asked Questions: South Dakota Cost of Living

What is the cost of living in South Dakota?

South Dakota's average cost-of-living index is 91, which is 9% below the U.S. baseline of 100. Across 3 tracked cities, costs span from index 90 in Pierre to 92 in Sioux Falls.

What is the cheapest city to live in South Dakota?

Pierre is the most affordable tracked city in South Dakota, with a cost index of 90 — roughly 10% below the national average.

What is the most expensive city in South Dakota?

Sioux Falls is the most expensive tracked city in South Dakota, at a cost index of 92. The gap between Pierre and Sioux Falls is 2 index points, so always budget at the city level.

What is the average household income in South Dakota?

The average median household income across 3 tracked South Dakota cities is about $55,478 per year.

Does South Dakota have a state income tax?

No. South Dakota has no state income tax, so workers keep more of each paycheck compared with high-income-tax states.

How much is sales tax in South Dakota?

The combined sales tax in South Dakota averages 6.4% — 4.5% at the state level plus 1.9% in average local tax.

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