Median one-bedroom rent across the cities we track is $984 in Nebraska versus $870 in South Dakota. Overall, South Dakota runs roughly 12% cheaper on rent than Nebraska, its main day-to-day cost driver.
Median household income across tracked cities is $72,708 in Nebraska and $74,714 in South Dakota — about 3% higher in South Dakota. Nebraska has a top state income tax rate of 4.55% and a 5.5% state sales tax; South Dakota has no state income tax and a 4.2% state sales tax.
State Taxes
Sales Tax
5.5%
4.2%
+1.3 pp in Nebraska
Income Tax (top rate)
4.55%
None
+4.5 pp in Nebraska
Housing (median across tracked cities)
Median 1BR Rent
$984
$870
+12% in Nebraska
Median Home Value
$230,800
$271,400
+18% in South Dakota
Income (median across tracked cities)
Median Household Income
$72,708
$74,714
+3% in South Dakota
Climate (median across tracked cities)
Avg Annual Temperature
51.1°F
45.8°F
+5.3°F in Nebraska
Nebraska vs South Dakota — FAQ
- Is it cheaper to live in Nebraska or South Dakota?
- South Dakota is cheaper on rent — its median one-bedroom of $870 runs about 12% below Nebraska's $984, based on the cities we track in each state.
- How much more do you need to earn to live in Nebraska 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 $39,000 a year in Nebraska versus $35,000 in South Dakota.
- Which has lower taxes, Nebraska or South Dakota?
- Nebraska has a top state income tax rate of 4.55% and a 5.5% 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 3/1 cities we track in Nebraska/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.