South Dakota Lowers Unemployment Insurance Tax Rates, Raises Fees

South Dakota lowered its unemployment insurance tax rates and increased its administrative fee starting in 2026 under a bill signed March 26.

SB 26 lowers rates for each of the state’s three unemployment schedules. Schedule A will have rates ranging from zero to 9.39%, down from the current range of zero to 9.45%. Rates for Schedule B will range from zero to 9.24%, down from a range of zero to 9.3%, while the rates for Schedule C will range from zero to 8.52%, down from a range of zero to 8.8%.

Although rates will decrease for experienced employers under the ...