Oregon rules
How Oregon taxes your paycheck in 2026
Oregon makes an unusual trade: it has no sales tax at all, but funds the state almost entirely through a relatively steep income tax. For salaried workers that means a bigger bite on your paycheck — offset by the fact that everything you buy costs exactly its sticker price.
Oregon income tax: 4.75% to 9.9%
The Oregon Department of Revenue runs four progressive brackets. The entry rate of 4.75% is already higher than the top rate in some states, and the 9.9% top rate kicks in at a relatively modest income compared with states like California.
| Rate | Taxable income |
|---|---|
| 4.75% | $0 – $4,300 |
| 6.75% | $4,300 – $10,750 |
| 8.75% | $10,750 – $125,000 |
| 9.9% | Over $125,000 |
Oregon applies a state standard deduction (about $2,800 single / $5,600 married for 2026) before calculating tax.
Paid Leave Oregon
Oregon funds its paid family and medical leave program through a small payroll premium shared between employer and employee. The employee share is a fraction of a percent of wages, so it barely affects your take-home — the calculator above includes it in the state line for completeness.
The Washington border effect
Oregon shares a long border with no-income-tax Washington. Some residents live in Washington (no income tax) and shop in Oregon (no sales tax) to minimize both — though working across the border has its own tax-filing rules. If you're comparing the two, run your salary through both calculators.
Comparing Oregon to other states
Oregon is high on the income-tax scale. Compare against neighboring Washington (no wage tax) or a flat-tax state like Illinois to see the full picture.
Questions
Oregon salary calculator FAQ
What is the Oregon income tax rate for 2026?
Oregon has a progressive income tax with four brackets ranging from 4.75% to 9.9%, administered by the Oregon Department of Revenue. The top 9.9% rate applies to taxable income above roughly $125,000 (single).
Does Oregon have a sales tax?
No. Oregon is one of a handful of states with no general sales tax. It relies more heavily on income tax instead, which is why paychecks face a relatively high state rate but everyday purchases cost less.
How much is taken out of a paycheck in Oregon?
An Oregon paycheck is reduced by federal income tax, 6.2% Social Security, 1.45% Medicare and Oregon state income tax (4.75% to 9.9%). The state also withholds a small Paid Leave Oregon premium. On an $80,000 single salary, total deductions are roughly 28% to 30%.
What is the take-home pay on $80,000 in Oregon?
A single filer earning $80,000 in Oregon takes home roughly $57,000 to $59,000 a year after federal tax, FICA and state income tax. Use the calculator above for your exact figure.
- Sources: Oregon Department of Revenue (2026 brackets; no sales tax) · Paid Leave Oregon · IRS Rev. Proc. 2025-32 · SSA wage base.
- 🔄 Last updated June 9, 2026 · Tax year 2026
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