Tipped & Minimum Wage in Sioux Falls, South Dakota (2026)

Sioux Falls, South Dakota follows the South Dakota state minimum wage of $11.85/hour in 2026. There is no separate municipal wage that TipFig identified as of 2026-08-29. Below: the state tipped-wage rules as they apply in Sioux Falls, plus tipping etiquette.

By The TipFig Editorial Team · independent editorial research project

Follows state law: TipFig did not identify a separate municipal minimum-wage ordinance for Sioux Falls as of 2026-08-29. Employers in Sioux Falls apply the South Dakota state minimum wage shown below. Local laws change — always confirm with the South Dakota Department of Labor before making wage or payroll decisions.

Minimum-Wage Law in Sioux Falls (South Dakota state)

State Min

$11.85/hr

Tipped Cash Wage

$5.93/hr

Max Tip Credit

$5.92/hr

Tip Credit?

Yes

Standard Tip Percentages in Sioux Falls

Restaurants

15–20%

Delivery

15–20%

Rideshare

15–20%

Bars

$1–2/drink

Hotel

$2–5/night

Salon/Spa

15–20%

These percentages are general U.S. etiquette norms. In Sioux Falls, the tipped cash wage is lower than the full minimum, so tips are a core part of server income — 15–20% on the pre-tax subtotal is the expected norm.

Calculate tips with Sioux Falls's tax built in

Our calculators apply the 7% combined South Dakota rate automatically — your tip stays on the pre-tax subtotal.

Tip Calculator for Sioux Falls, South Dakota

Enter your bill — South Dakota's 7% sales tax is applied automatically and your tip stays on the pre-tax subtotal.

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%

Results

Tip Amount
$0.00
Tax (7%)
$0.00
Total Bill
$0.00
Each Person
$0.00
Bill Breakdown
Subtotal (Pre-Tax)$50.00
Tax (7%)$3.50
Tip (18%)$9.00
Total$62.50

Tip is calculated on the pre-tax amount. Adjust state for accurate tax rates.

Frequently Asked Questions

What is the minimum wage in Sioux Falls, South Dakota in 2026?

Sioux Falls does not have a separate municipal minimum-wage ordinance that TipFig identified as of 2026-08-29, so employers in Sioux Falls apply the South Dakota state minimum wage of $11.85/hour. This can change — confirm the current rate with the South Dakota Department of Labor. (State figures: U.S. Department of Labor, July 1, 2026.)

Does Sioux Falls have its own minimum wage or follow South Dakota state law?

As of TipFig's 2026-08-29 review, Sioux Falls does not have a separate municipal minimum-wage ordinance that TipFig identified, so it follows South Dakota state law ($11.85/hour). Some cities in other states do set local rates; always verify with the South Dakota Department of Labor, since local laws change.

What is the tipped minimum wage and tip credit in Sioux Falls?

In Sioux Falls, the tipped cash wage is $5.93/hour and employers may take a tip credit of up to $5.92/hour, for a combined cash-plus-tip minimum of $11.85/hour. If tips don't bring the employee to the minimum, the employer must make up the difference.

How much should I tip in Sioux Falls?

Like the rest of the U.S., Sioux Falls follows national tipping norms — tip 15–20% on the pre-tax subtotal at restaurants, bars, and for delivery and rideshare, not the 7% combined sales tax. In South Dakota, tipped workers already earn at least $11.85/hour, yet 15–20% remains the customary gratuity because tips supplement take-home pay.

Other South Dakota Cities

More State Guides

State minimum-wage figures are from the U.S. Department of Labor — Wage and Hour Division: Minimum Wages for Tipped Employees (July 1, 2026), retrieved 2026-08-09. Minimum wages change frequently; verify with the South Dakota Department of Labor before making wage or payroll decisions. Tip percentages are general etiquette guidelines, not legal advice. Sales-tax rates are approximate combined state + local averages.

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