Median one-bedroom rent across the cities we track is $1,076 in Alaska versus $807 in South Dakota. Overall, South Dakota runs roughly 25% cheaper on rent than Alaska, its main day-to-day cost driver.
Median household income across tracked cities is $98,152 in Alaska and $65,712 in South Dakota — about 33% higher in Alaska. Alaska has no state income tax and no state sales tax; South Dakota has no state income tax and a 4.2% state sales tax.
State Taxes
Sales Tax
None
4.2%
+4.2 pp in South Dakota
Income Tax (top rate)
None
None
about equal
Housing (median across tracked cities)
Median 1BR Rent
$1,076
$807
+25% in Alaska
Median Home Value
$375,900
$270,000
+28% in Alaska
Income (median across tracked cities)
Median Household Income
$98,152
$65,712
+33% in Alaska
Climate (median across tracked cities)
Avg Annual Temperature
37.4°F
45.8°F
+8.4°F in South Dakota
Alaska vs South Dakota — FAQ
- Is it cheaper to live in Alaska or South Dakota?
- South Dakota is cheaper on rent — its median one-bedroom of $807 runs about 25% below Alaska's $1,076, based on the cities we track in each state.
- How much more do you need to earn to live in Alaska than in South Dakota?
- To keep rent near the recommended 30% of gross income, based on median rent across tracked cities, you'd want to earn roughly $43,000 a year in Alaska versus $32,000 in South Dakota.
- Which has lower taxes, Alaska or South Dakota?
- Alaska has no state income tax and no state sales tax. South Dakota has no state income tax and a 4.2% state sales tax.
Housing, income, and climate are medians across the 3/3 cities we track in Alaska/South Dakota — not population-weighted statewide figures. Taxes are exact state-level rates. Sources: US Census Bureau, ACS 5-Year; NOAA Climate Normals 1981–2010; Tax Foundation 2026.