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Tea, South Dakota

USA · Comprehensive city data and intelligence

78
Overall Score

Tea, South Dakota, located in Lincoln County just southwest of Sioux Falls, has evolved from a quiet rural railroad town into one of the fastest-growing communities in the state. Characterized by its welcoming Midwestern charm, friendly neighborhoods, and excellent local school district, it attracts families and professionals looking for a safe, suburban lifestyle within close proximity to a major job market. The city's rapid expansion brings modern housing developments while preserving a strong community-first ethos that defines small-town South Dakota.

About South Dakota

South Dakota, located in the upper Midwest, is characterized by its vast landscapes and a population density among the lowest in the U.S.. The state's economy is primarily driven by agriculture, including crop production and livestock, but also benefits from growing sectors like manufacturing, financial services, and tourism, with attractions such as Mount Rushmore. Living in South Dakota is generally affordable, with a cost of living approximately 8% lower than the national average and no state income tax. The climate features hot, humid summers and cold, snowy winters, and residents often enjoy a quieter, nature-centric lifestyle with abundant outdoor recreation opportunities.

6,500
Population
$64K
Avg Salary
96
Cost Index
78.5
Quality Score
How this 79/100 was calculated five components, with every reading behind them
Component Readings used Points Weight Contributes
Safety Safety score: 85 / 100 85.0 30% 25.5
Affordability Cost of living index (100 = national baseline): 96.0 48.8 25% 12.2
Economy & jobs Median household income: $88,500 Income needed to live here: $52,000 Unemployment rate: 2.4% 97.5 20% 19.5
Growth Population growth rate: 4.5% Job growth rate: 3.2% 92.0 15% 13.8
Business climate assessment Business climate assessment: 75 / 100 75.0 10% 7.5
Overall score 78.5

Provenance. These figures were produced by the research pass recorded as Tier 2 (reasoned) (q=54, partial — below threshold), last refreshed 16 October 2026. They are researched estimates drawn from public sources, not a licensed data feed.

Each component is scored against fixed published endpoints, so this number is comparable with any other city and does not move as the dataset grows. Scoring framework 2026.10 — full methodology, weights and accepted ranges.

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Quality Scores

Business
75
Livability
80
Affordability
70
Growth
88

Cost of Living

The cost of living in Tea is slightly below the national average, making it an attractive option for homeowners and renters seeking affordability without sacrificing modern amenities. While housing costs have risen alongside rapid regional growth, utility, grocery, and transportation expenses remain reasonable compared to major U.S. metropolitan areas. Residents also benefit from South Dakota's lack of a state personal income tax, which further enhances household purchasing power.

Average Rent
$1,350/mo
Groceries
$410/mo
Transport
$115/mo
Utilities
$170/mo
Healthcare
$230/mo
Gym membership (monthly)
$40.00
Cinema ticket
$12.00
Restaurant meal (mid-range)
$20.00
Monthly groceries
$410.00
Doctor visit (without insurance)
$140.00

Salary Insights

Tea's local economy benefits immensely from its proximity to Sioux Falls, allowing residents easy access to a diverse regional job market anchored by healthcare, financial services, and advanced manufacturing. Major local employment sectors within Tea itself include construction, local government, retail trade, and light manufacturing/logistics. The entrepreneurial climate is robust, supported by low state corporate tax rates and a pro-business regulatory environment.

The average salary in Tea is $64,000 per year. You would need approximately $52,000 to live comfortably.

Top Industries

Healthcare & Social Assistance +3.10% Manufacturing & Logistics +2.80% Education Services +2.20% Construction & Real Estate +4.50% Retail & Wholesale Trade +2.00%

Climate

🌡️
49°F
Avg Temp
☀️
82°F
Summer High
❄️
10°F
Winter Low
🌧️
29.80"
Annual Rain
💧
68.00%
Humidity
🌤️
269
Sunny Days

Transport

Tea is highly car-dependent, with most residents relying on personal vehicles for daily commutes and errands via nearby Interstate 29. The average commute time is short, as the drive into downtown Sioux Falls takes less than 15 minutes. While public transit options within the town itself are minimal, the street layout is pedestrian-friendly within residential subdivisions.

18 min
Avg Commute
35.00/10
Transit Score
48.00/10
Walkability
High
Car Dependency

Pros & Cons

Advantages
Exceptional public safety with crime rates well below the national average per US Census and FBI reporting data
No state personal income tax in South Dakota, maximizing take-home pay
Rapid population and economic growth providing strong real estate appreciation opportunities per Zillow market trends
Proximity to Sioux Falls offering major employment centers and premier healthcare systems within a 15-minute drive
Highly rated local school district (Tea Area School District) known for strong academic and athletic programs
Drawbacks
High car dependency due to limited public transportation options within the city limits
Rigorous winter weather featuring sub-freezing temperatures and heavy snowfall events
Limited local entertainment and nightlife options within Tea proper, requiring trips to Sioux Falls
Rapidly rising home prices and rental rates driven by intense regional housing demand
Flat terrain with limited natural geographic variety or forested landscapes

Questions about Tea

What people ask about living in and moving to Tea, South Dakota.

Gathering the most common questions about Tea…

Frequently Asked Questions

Urblytica benchmarks its Cost of Living Index against a United States national average baseline of 100. A score of 115 means a city is approximately 15% more expensive than the national average, while a score of 85 indicates it is 15% more affordable. This composite calculation is weighted across six primary expenditure categories: housing, utilities, grocery items, transportation, healthcare, and miscellaneous goods.

Urblytica aggregates housing data from multiple authoritative sources, including Multiple Listing Service (MLS) feeds, municipal property tax registries, the U.S. Census Bureau’s American Community Survey (ACS), and verified historical deed transactions. This multi-tier aggregation ensures precision in tracking median home values and rental rates.

A municipality must meet minimum data-density thresholds—including consistent reporting population samples from the U.S. Census and active residential or commercial real estate transaction feeds—to ensure statistical significance before a complete scoring profile is published.

When primary agencies (such as the Bureau of Labor Statistics or U.S. Census Bureau) issue historical data revisions or benchmark corrections, Urblytica's data pipeline automatically re-indexes affected historical archives to maintain longitudinal trend accuracy.

U.S. affordability calculations incorporate federal income tax brackets, state-specific income tax rates, and local municipal tax variations to evaluate the true net tax drag on median household earnings across different states and cities.

Local county and municipal property tax millage rates are factored directly into the housing component of the cost-of-living index to reflect recurring annual tax burdens for homeowners.

The platform aggregates state sales taxes alongside county and city surtaxes to measure consumer basket purchasing power parity accurately across different retail jurisdictions.

Utility calculations apply regional seasonal consumption weightings, incorporating high summer air conditioning loads in southern states and heavy winter heating demands in northern states.

The index tracks average out-of-pocket healthcare expenses, routine outpatient visit costs, and regional health insurance premium benchmarks published by federal health agencies.

Educational metrics aggregate state standardized testing benchmarks, student-to-teacher ratios, high school graduation rates, and per-pupil expenditure data published by state departments of education.

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