Oregon Paycheck Calculator

Oregon has never had a general sales tax, and voters have rejected proposals for one repeatedly — nine times over the past century. That places the entire consumption-tax burden onto income tax, which is why Oregon's rates start where most states' rates end.

The 4.75% entry rate applies from the first dollar of taxable income, and the 8.75% band arrives by roughly $11,400. In practice almost every full-time worker in Oregon pays 8.75% on the majority of their income, with the 9.9% top rate reserved for income above $125,000.

Oregon's standard deduction is small — $2,910 for a single filer — which reinforces the effect. Oregon does allow a limited deduction for federal income tax paid, capped and phased out at higher incomes, which softens the bill somewhat. This calculator does not model that deduction, so the Oregon figure shown is slightly conservative.

The Portland metro area layers two additional income taxes on top of the state's, and they are substantial.

The Metro Supportive Housing Services tax applies to income above $125,000 for single filers within the Metro district. The Multnomah County Preschool for All tax applies above the same threshold for county residents, at rates that step up for higher incomes. Together they can add several percentage points for affected households, pushing combined marginal rates above 14% — among the highest anywhere in the United States.

Both are based on residence, and both apply to income earned anywhere, not just within the district. For higher earners deciding where to live in the Portland area, crossing the Metro or county boundary is a genuinely significant financial decision. Use the local rate field above to model them.

Paid Leave Oregon is funded by a 1% total contribution, of which employees pay 60% — an effective employee rate of 0.6% on wages up to $184,500 for 2026. It covers family, medical and safe leave, with wage replacement scaled toward lower earners.

The Washington border is the classic Oregon tax question. Washington has no income tax but a high sales tax; Oregon is the reverse. Living in Washington and shopping in Oregon looks like the ideal arrangement, but if you live in Washington and work in Oregon, Oregon taxes the income you earn there. And if you live in Oregon and work in Washington, Oregon taxes you as a resident on everything — Washington's lack of an income tax does not help you at all.

Oregon does not tax Social Security benefits. Other retirement income is generally taxable, with a small credit available to some older taxpayers.