Oregon Paycheck Calculator
Detailed paycheck estimator for workers in Oregon (OR). Uses updated 2026 federal withholdings, FICA tax limits, and state-specific tax brackets.
Estimate Take-Home Income in OR
Progressive State TaxCalculator Inputs
Calculation Result
How much tax comes out of a paycheck in Oregon?
Oregon has no state sales tax but taxes income progressively up to 9.90%, so a W-2 single filer earning $75,000 takes home about $55,603.50 a year.
W-2 tax structure in Oregon
Oregon's progressive income tax uses four brackets: 4.75%, 6.75%, 8.75%, and 9.90%. The top bracket applies to taxable income over $125,000 for single filers after standard deductions.
Worked payroll example (gross $75,000 salary)
| Withholding Category | Annual Deduction |
|---|---|
| Gross Pay | $75,000.00 |
| Federal Income Tax | -$7,670.00 |
| FICA Tax (Social Security & Medicare) | -$5,737.50 |
| State Income Tax | -$5,989.00 |
| Net Take-Home Pay | $55,603.50 |
What makes Oregon W-2 taxation different?
Oregon is one of only five states with no state sales tax, which shifts its revenue generation onto progressive income taxes. The median household income is $85,220 according to the U.S. Census Bureau.
Relocating from or to Oregon?
Comparing Oregon to Washington, Oregon has no sales tax but progressive income taxes, whereas Washington has no W-2 income tax but a high state sales tax rate.
Frequently Asked Questions
Does Oregon really have no sales tax at all?
Correct. Oregon is one of five states with no state or local general sales tax, which is why its income tax rates run higher.
Does Portland have a separate city income tax?
Portland-area residents may owe additional regional taxes (like transit or supportive housing taxes) that function similarly to local wage withholding.
What is the median household income in Oregon?
According to the 2024 U.S. Census Bureau ACS estimates, the median household income in Oregon is $85,220.
Is Oregon's cost of living high?
Yes. Oregon stands at 112.8 on the MERIC index, driven by metropolitan housing costs (housing sub-index of 127.4).
- Federal baseline calculations: IRS Revenue Procedure 2025-32.
- FICA caps and limits: Social Security Administration (2026).
- State tax rates: Tax Foundation Individual Income Tax Rates (2026).
- Median household income: U.S. Census Bureau ACS (2024).
- Cost of Living Index: MERIC Cost of Living Data Series (2025).
No sales tax, but one of the highest income tax rates in the country
Oregon is the trade every new resident has to understand. There is no state sales tax at all, and in exchange the income tax is steep: four brackets at 4.75%, 6.75%, 8.75% and 9.90%.
The 8.75% band starts low enough that a normal professional salary is well inside it, which is why Oregon take-home pay is noticeably thinner than in most states. On $75,000, Oregon state tax is around $5,989, and take-home is roughly $55,603.50. Compare that with Washington across the river, which has no income tax at all, and the annual gap is over $5,000.
Whether Oregon is actually more expensive depends entirely on how you spend. Someone who saves aggressively pays Oregon's income tax and skips Washington's sales tax on very little. Someone who spends most of what they earn may come out closer to even. The Portland and Vancouver metro exists in the gap between those two facts, and plenty of people optimise their address around it.
If you work in the Portland area, there are local taxes on top
The state rate is not the end of it in the Portland metro. There are additional local income taxes layered on for people who live or work in the region, funding regional housing services and a county preschool programme, and they apply above set income thresholds rather than from the first dollar.
These are assessed separately from Oregon state income tax and are a common reason a Portland-area pay stub does not match a national calculator. Employers withhold for them in many cases, but not always automatically, and if nobody is withholding you are still liable at filing.
Thresholds and rates for these programmes are set locally and have been revised more than once since they were introduced, so check the current year's figures with the City of Portland Revenue Division and Multnomah County rather than relying on any third-party calculator, including this one, for the local layer.
There is also a small statewide transit tax on wages, and Oregon has no local sales tax to offset any of it.
Oregon ranks 50th of 50 for take-home pay
On a $80,000 salary, a single filer keeps $58,947 in Oregonafter federal tax, Social Security, Medicare and state tax — $6,163 less than Alaska, the highest.
Plan your Oregon Budget: The Paycheck Split™
The Paycheck Split™
Divide your take-home pay to plan your budget (Essentials, Lifestyle, Financial Goals).