South Dakota offers unique opportunities for aspiring accountants and CPAs, with no state income tax, a growing financial services sector, and strong demand across agriculture, healthcare, and tribal enterprises. This comprehensive guide covers everything you need to know about becoming a CPA in South Dakota, from education requirements to career prospects.
Quick Facts: South Dakota CPAs earn an average of $75,610 annually, with experienced professionals in Sioux Falls earning up to $102,870. The state requires 150 credit hours and specific coursework to sit for the CPA exam.
Use these quick links to navigate to the information you need:
- Step 1: Earn a Bachelor’s Degree in Accounting
- Step 2: Complete 150 Credit Hours
- Step 3: Pass the CPA Exam
- Step 4: Gain Required Experience
- Step 5: Apply for CPA Licensure
- South Dakota CPA Salary Information
- Frequently Asked Questions
Why Pursue Accounting in South Dakota?
South Dakota’s accounting profession benefits from several unique advantages:
- No State Income Tax: Keep more of your earnings compared to neighboring states
- Growing Financial Sector: Sioux Falls hosts major credit card operations and financial services companies
- Diverse Industries: Opportunities in agriculture, healthcare, tourism, and tribal gaming
- Lower Cost of Living: Your salary goes further compared to major metropolitan areas
- Work-Life Balance: Shorter commutes and access to outdoor recreation
“South Dakota’s combination of no income tax and growing industries makes it an excellent place to build an accounting career. Our firm has seen steady growth serving agricultural businesses and the expanding Sioux Falls financial sector.”
– Sarah Johnson, CPA, Managing Partner at Black Hills Accounting Services
Step 1: Earn a Bachelor’s Degree in Accounting
Your journey to becoming a CPA in South Dakota begins with earning a bachelor’s degree from an accredited institution. South Dakota’s Board of Accountancy requires specific coursework as part of your educational foundation.
Required Coursework for South Dakota CPA Candidates
Top Accounting Schools in South Dakota
University of South Dakota (Vermillion)
- Program: Bachelor of Science in Accounting
- Accreditation: AACSB
- Notable Features: Strong CPA exam preparation program; internship partnerships with regional firms
- Tuition: $9,432 (in-state), $12,942 (out-of-state)
South Dakota State University (Brookings)
- Program: Bachelor of Science in Accounting
- Accreditation: AACSB
- Notable Features: Agricultural business accounting specialization; active accounting club
- Tuition: $9,299 (in-state), $12,809 (out-of-state)
Augustana University (Sioux Falls)
- Program: Bachelor of Arts in Accounting
- Notable Features: Small class sizes; strong placement in Sioux Falls financial services
- Tuition: $36,996 (private institution)
Step 2: Complete 150 Credit Hours
South Dakota requires CPA candidates to complete 150 semester hours of education. Since most bachelor’s degrees consist of 120 credit hours, you’ll need an additional 30 hours. Here are popular pathways to reach 150 hours:
Options for Additional Credit Hours
Many South Dakota students choose the Master of Accountancy route, which provides advanced preparation for the CPA exam while building specialized expertise in areas like forensic accounting or taxation.
Step 3: Pass the CPA Exam
The Uniform CPA Examination consists of four sections that test your knowledge across various accounting disciplines. South Dakota candidates must pass all four sections within an 18-month rolling window.
CPA Exam Sections and South Dakota Pass Rates
South Dakota CPA Exam Requirements
To sit for the CPA exam in South Dakota, you must:
- Complete a bachelor’s degree from an accredited institution
- Finish the required accounting and business coursework
- Apply through NASBA and pay applicable fees
- Receive your Notice to Schedule (NTS)
“I recommend South Dakota candidates focus on REG first, as understanding state-specific tax implications gives you an advantage in our no-income-tax state. Many firms here serve clients with multi-state operations.”
– Michael Chen, CPA, Tax Manager at Rapid City Regional Accounting
Step 4: Gain Required Experience
South Dakota requires one year (2,000 hours) of accounting experience under the supervision of a licensed CPA. This experience must be gained within four years and can include:
Qualifying Experience Types
- Public Accounting: Audit, tax, and consulting services at CPA firms
- Industry Accounting: Corporate accounting, financial reporting, internal audit
- Government Accounting: State agencies, municipalities, tribal governments
- Non-profit Accounting: Healthcare systems, educational institutions, charitable organizations
Major South Dakota Employers for CPAs
Step 5: Apply for CPA Licensure
Once you’ve met all education, examination, and experience requirements, you can apply for your South Dakota CPA license through the Board of Accountancy.
Application Requirements
- Completed application form
- Official transcripts from all colleges attended
- Proof of CPA exam completion
- Experience verification forms signed by a supervising CPA
- Character references (typically 3)
- Application fee: $100
- Initial license fee: $175
Maintaining Your South Dakota CPA License
South Dakota CPAs must complete 120 hours of Continuing Professional Education (CPE) every three years, including:
- Minimum 20 hours annually
- 4 hours of ethics every three years
- Up to 60 hours may be carried forward
South Dakota CPA Salary Information
Understanding salary expectations helps you plan your career path. South Dakota offers competitive compensation, especially considering the state’s lower cost of living and lack of state income tax.
South Dakota Accountant and Auditor Salaries by Experience Level
Salaries by Major South Dakota Cities
May 2024 Bureau of Labor Statistics salary data for Accountants and Auditors reflect state and national data, not school-specific information. Conditions in your area may vary. Data accessed June 2025.
Career Outlook for South Dakota CPAs
The accounting profession in South Dakota shows steady growth, with several factors contributing to positive job prospects:
Growth Drivers
- Financial Services Expansion: Sioux Falls continues to attract financial services companies
- Agricultural Complexity: Modern farming operations require sophisticated financial management
- Healthcare Growth: Expanding healthcare systems need specialized accounting expertise
- Retirement Wave: Many current CPAs are approaching retirement age
- Regulatory Changes: Ongoing tax law updates create demand for expertise
Emerging Specializations in South Dakota
Online and Flexible Learning Options
For working professionals and rural residents, online accounting programs provide flexibility while meeting CPA requirements. Several South Dakota institutions offer online options:
Online Accounting Programs Serving South Dakota
- University of South Dakota Online: Bachelor’s and Master’s in Professional Accountancy
- South Dakota State University: Online accounting courses and certificates
- National American University: Fully online accounting degrees
Learn more about online accounting degree programs that meet South Dakota’s CPA requirements.
Financial Aid and Scholarships for South Dakota Students
Several financial aid opportunities specifically benefit South Dakota accounting students:
State-Specific Scholarships
Frequently Asked Questions
How long does it take to become a CPA in South Dakota?
Typically 5-6 years total: 4 years for a bachelor’s degree, 1 year for additional credits (often through a master’s program), plus 1 year of required work experience. The CPA exam can be completed during your final year of education or while gaining experience.
Can I become a CPA in South Dakota with an online degree?
Yes, as long as the online program is properly accredited and meets South Dakota’s specific coursework requirements. The state accepts degrees from regionally accredited institutions, whether earned online or on-campus.
What’s the CPA exam pass rate in South Dakota?
South Dakota’s overall CPA exam pass rate averages 54.6%, slightly above the national average of 52.4%. First-time candidates typically have higher pass rates than repeat test-takers.
Do I need to live in South Dakota to get a South Dakota CPA license?
No, South Dakota doesn’t have a residency requirement. However, you must meet all education, examination, and experience requirements set by the South Dakota Board of Accountancy.
How much does it cost to become a CPA in South Dakota?
Total costs typically range from $3,000-$5,000, including: CPA exam fees ($1,200-$1,500), review course ($2,000-$3,500), application and licensing fees ($275), plus any additional education costs.
What’s unique about being a CPA in South Dakota?
South Dakota CPAs benefit from no state income tax, increasing take-home pay by 5-7% compared to neighboring states. The state also offers unique opportunities in agricultural accounting, tribal gaming compliance, and serving multi-state clients, taking advantage of South Dakota’s business-friendly laws.
Next Steps: Start Your South Dakota CPA Journey
Ready to begin your path to becoming a CPA in South Dakota? Here’s your action plan:
- Research Schools: Compare accounting programs at South Dakota institutions
- Plan Your 150 Hours: Decide between a master’s degree or alternative pathways
- Connect with Professionals: Join the South Dakota CPA Society as a student member
- Explore Firms: Research potential employers and internship opportunities
- Financial Planning: Apply for scholarships and calculate your education investment
For more information about accounting careers nationwide, explore our complete guide to accounting degrees or compare top accounting schools across the country.
