As of the census of 2000, there were 6,772 people, 2,745 households, and 1,869 families residing in the city. The population density was 1,658.3 people per square mile (640.9/km²). There were 2,826 housing units at an average density of 692.0/sq mi (267.4/km²). The racial makeup of the city was 98.05% White, 0.34% Black or African American, 0.31% Native American, 0.30% Asian, 0.30% from other races, and 0.71% from two or more races. 0.86% of the population were Hispanic or Latino of any race.
There were 2,745 households out of which 31.7% had children under the age of 18 living with them, 58.4% were married couples living together, 7.1% had a female householder with no husband present, and 31.9% were non-families. 26.7% of all households were made up of individuals and 9.5% had someone living alone who was 65 years of age or older. The average household size was 2.39 and the average family size was 2.91.
In the city the population was spread out with 23.9% under the age of 18, 7.4% from 18 to 24, 30.1% from 25 to 44, 22.7% from 45 to 64, and 15.9% who were 65 years of age or older. The median age was 39 years. For every 100 females there were 91.9 males. For every 100 females age 18 and over, there were 91.1 males.
The median income for a household in the city was $47,205, and the median income for a family was $55,668. Males had a median income of $40,006 versus $25,293 for females. The per capita income for the city was $22,456. About 2.6% of families and 2.7% of the population were below the poverty line, including 3.3% of those under age 18 and 4.6% of those age 65 or over.
Four lane Highway 23 is the primary east-west route into the city. It lies just north of the city. Interstate 43, located less than five miles east of Sheboygan Falls, is the primary north-south transportation route into the area. Highway 28 is another primary east-west route into the city, and forms part of the south edge of the city. Highway 32 is the primary north-south route into the city, and it routes through downtown Sheboygan Falls. Secondary county highways include Counties PP to the east and C to the west.
Sheboygan is served by the Sheboygan County Memorial Airport, which is located several miles from the city.
The Sheboygan River snakes through Sheboygan Falls. Rapids prohibit most water transportation through the city.