Reminder: South Dakota Minimum Wage Goes up January 1, 2018

Reminder: South Dakota Minimum Wage Goes up January 1, 2018

South Dakota Retailers Association

South Dakota's minimum wage will increase from $8.65 per hour to $8.85 per hour effective January 1, 2018.

The minimum wage is annually adjusted by any increase in the cost of living, as measured in the Consumer Price Index published by the U.S. Department of Labor. This year’s increase was 1.9 percent and is rounded up to the nearest five cents.

The hourly minimum wage for tipped employees will be $4.425 per hour effective January 1, 2018, half the minimum wage for non-tipped employees. Wages and tips combined must equal at least the state minimum wage.

These increases will apply to all South Dakota employers, with some limited exceptions. For more information, visit http://dlr.sd.gov/employment_laws/minimum_wage.aspx.

Federal law requires employers to post a notice about the federal minimum wage, and South Dakota employers must comply with this law. Although South Dakota's state minimum wage rate is higher than the federal minimum wage, there is no requirement in state law to post information about the state minimum wage. However, for the convenience of employers, the South Dakota Department of Labor and Regulation has developed a notice that employers may choose to post. It is available online at http://dlr.sd.gov/employment_laws/publications/min_wage_poster_2018.pdf.

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