Portland rules
How Portland paychecks are taxed in 2026
Portland is one of the more heavily income-taxed cities in the country — Oregon has no sales tax, so it leans hard on income. Oregon applies a progressive 4.75%–9.9% state income tax, and Portland-area high earners face two additional local taxes: the Multnomah County Preschool for All (1.5%) and the Metro Supportive Housing Services (1%) taxes.
How the local taxes stack
For a single filer, the Metro SHS 1% applies to Metro taxable income over $125,000, and the Multnomah Preschool 1.5% applies to county taxable income over $125,000 — so above that threshold, the two add a combined 2.5% on the excess, on top of Oregon's 9.9% top state rate. The calculator above models Oregon tax plus these local levies as a single combined line.
The trade-off: no sales tax
Oregon charges no sales tax at all, which softens the high income-tax burden — you keep more at the register even as the state takes more from your paycheck. For lower and middle earners below the local thresholds, Portland's effective burden is mostly the Oregon state tax.
Compare Portland with other cities
See how your salary fares in no-income-tax Seattle just north, or high-tax San Jose, and check the statewide Oregon calculator.
Questions
Portland Oregon Salary Calculator FAQ
Does Portland, Oregon have local income taxes?
Yes. On top of Oregon's progressive state income tax (4.75%–9.9%), Portland-area residents face two local taxes: the Multnomah County Preschool for All tax (1.5%) and the Metro Supportive Housing Services tax (1%). Both apply only to income above $125,000 for single filers or $200,000 for joint filers.
Who pays the Multnomah County and Metro taxes?
Only higher earners. The Multnomah Preschool (1.5%) and Metro SHS (1%) taxes apply to taxable income above $125,000 single / $200,000 joint. A single Portland worker earning under $125,000 pays only Oregon state income tax; above it, the local taxes add up to 2.5% on the portion over the threshold.
What is the take-home pay on $120,000 in Portland?
A single filer earning $120,000 in Portland takes home roughly $82,000 to $85,000 a year after federal income tax, FICA and Oregon's progressive state tax — and since $120,000 is just under the $125,000 local threshold, no Multnomah or Metro tax applies. Use the calculator for your exact figure.
Does Oregon have a sales tax?
No. Oregon is one of only five states with no general sales tax, which partly offsets its high income-tax rates. Portland workers pay more on their paycheck but nothing at the register, so the overall tax picture depends heavily on how much you spend versus earn.
- Sources: Oregon Department of Revenue (progressive 4.75%–9.9%) · City of Portland Revenue Division — Metro SHS (1% over $125k single) and Multnomah Preschool for All (1.5% over $125k single) · IRS Rev. Proc. 2025-32 · SSA 2026 wage base.
- 🔄 Last updated June 9, 2026 · Tax year 2026
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