Bonesteel is a city in Gregory County, South Dakota, United States.

[7] The city named for H. E. Bonesteel, who operated as a freight forwarder in the area.

[8] According to the United States Census Bureau, the city has a total area of 0.35 square miles (0.91 km2), all land.

38.4% of all households were made up of individuals, and 20% had someone living alone who was 65 years of age or older.

The racial makeup of the city was 90.57% White, 7.07% Native American, and 2.36% from two or more races.

33.6% of all households were made up of individuals, and 23.4% had someone living alone who was 65 years of age or older.

About 8.0% of families and 14.6% of the population were below the poverty line, including 17.6% of those under the age of eighteen and 17.3% of those 65 or over.