Business & Finance South Dakota (SD) Rank #43 of 50

Tax Preparer Salary in South Dakota

The median tax preparer salary in South Dakota is $40,735 per year, which is 12% below the national median of $46,290.

Median Salary
$40,735
vs National
$-5,555
State Rank
#43 of 50
Cost of Living
88%

Tax Preparer Salary Overview in South Dakota (2026)

South Dakota ranks #43 out of 50 states for tax preparer compensation. Tax Preparer salaries in South Dakota are below the national median, though the lower cost of living can offset the difference. At $40,735 per year, tax preparers in South Dakota earn $5,555 less than the national median of $46,290.

A key advantage of working in South Dakota is its below-average cost of living (88% of the national index). This means the $40,735 salary has the purchasing power of roughly $46,290 in an average-cost area.

The salary spread in South Dakota is significant: tax preparers at the 10th percentile earn $22,000, while those at the 90th percentile bring home $77,440 — a $55,440 gap that reflects differences in experience, specialization, employer type, and metro area. The highest-paying city in South Dakota for this role is Sioux Falls, where the median reaches $42,587.

Nationally, tax preparer employment is projected to grow 2% over the next decade (as fast as average). This steady growth indicates stable demand for tax preparers across the country.

Tax Preparer Salary in South Dakota by Experience

In South Dakota, an entry-level tax preparer earns around $24,640, while experienced professionals earn up to $72,160 per year. The cost of living index in South Dakota is 88% of the national average.

Entry Level (0-2 yrs)
$24,640
$-3,360 vs national
Mid Level (3-7 yrs)
$42,240
$-5,760 vs national
Senior Level (8+ yrs)
$72,160
$-9,840 vs national

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Salary Percentiles in South Dakota

Percentile SD Salary
10th Percentile $22,000
25th Percentile $28,160
Median (50th) $40,735
75th Percentile $57,200
90th Percentile $77,440

Tax Preparer Salary by City in South Dakota

The largest employment areas for tax preparers in South Dakota include Sioux Falls, Rapid City, Aberdeen, and Brookings. Salaries vary by city based on local cost of living and demand.

How to Become a Tax Preparer in South Dakota

Education

Most tax preparer positions require a high school diploma. South Dakota has several accredited institutions offering relevant programs.

Key Skills

Tax LawTax SoftwareFinancial RecordsAttention to DetailClient CommunicationIRS Regulations

Job Outlook in South Dakota

Nationally, tax preparer employment is projected to grow 2% over the next decade (as fast as average). South Dakota's demand may vary based on local industry trends.

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Frequently Asked Questions: Tax Preparer Salary in South Dakota

How much does a Tax Preparer make in South Dakota? ▼
The median tax preparer salary in South Dakota is $40,735 per year, which is 12% below the national median of $46,290. Salaries range from $22,000 (10th percentile) to $77,440 (90th percentile).
How much does a Tax Preparer make per hour in South Dakota? ▼
Based on the median annual salary of $40,735, a tax preparer in South Dakota earns approximately $20 per hour assuming a standard 2,080-hour work year.
Is South Dakota a good state for tax preparers? ▼
South Dakota ranks #43 out of 50 states for tax preparer pay. The cost of living index is 88% of the national average. Entry-level tax preparers earn $24,640, while senior professionals earn $72,160.
How does South Dakota compare to other states for tax preparer salary? ▼
The highest paying state for tax preparers is Hawaii at $78,693. South Dakota's median of $40,735 ranks #43 nationally. Nearby-ranked states include Tennessee ($41,198) and Missouri ($40,735).
What is the entry-level tax preparer salary in South Dakota? ▼
An entry-level tax preparer in South Dakota earns approximately $24,640 per year. With 3-7 years of experience, pay increases to around $42,240. Senior-level professionals with 8+ years earn up to $72,160.
What city in South Dakota pays tax preparers the most? ▼
Sioux Falls is the highest paying city in South Dakota for tax preparers, with a median salary of $42,587. Other cities include Rapid City and Aberdeen.