How Oregon taxes wages
Four brackets up to 9.9%, with a small standard deduction. You can subtract the federal income tax you paid, up to $8,750 for 2026, a limit that shrinks at higher incomes. Oregon has no sales tax.
At $65,000 of wages, that is the 42nd-lowest estimated bill of the 42 jurisdictions (including DC) that tax wages.
Its top rate of 9.9% is the 6th-highest among the 26 jurisdictions with progressive brackets.
Oregon tax brackets for single filers
2026 brackets for single filers. Source: oregon.gov (PDF)
| Taxable income | Rate |
|---|---|
| $0 – $4,550 | 4.75% |
| $4,550 – $11,400 | 6.75% |
| $11,400 – $125,000 | 8.75% |
| Over $125,000 | 9.9% |
Oregon tax brackets for married couples filing jointly
| Taxable income | Rate |
|---|---|
| $0 – $9,100 | 4.75% |
| $9,100 – $22,800 | 6.75% |
| $22,800 – $250,000 | 8.75% |
| Over $250,000 | 9.9% |
Oregon tax brackets for heads of household
| Taxable income | Rate |
|---|---|
| $0 – $9,100 | 4.75% |
| $9,100 – $22,800 | 6.75% |
| $22,800 – $250,000 | 8.75% |
| Over $250,000 | 9.9% |
Joint and head of household returns use brackets twice as wide. You can subtract the federal income tax you paid, up to $8,750, less $1,750 for each $5,000 of federal AGI from $125,000 ($10,000 from $250,000 on joint and head of household returns), so nothing from $145,000 ($290,000). The $263 exemption credit ($526 on a joint return) isn’t allowed above $100,000 of federal AGI ($200,000 on joint and head of household returns).
Example: $65,000 salary, single filer
| Wages | $65,000.00 |
|---|---|
| Standard deduction | −$2,910.00 |
| Federal income tax subtracted | −$5,620.00 |
| Taxable income | $56,470.00 |
| 4.75% on $0 – $4,550 | $216.13 |
| 6.75% on $4,550 – $11,400 | $462.38 |
| 8.75% on $11,400 – $56,470 | $3,943.62 |
| Exemption credit | −$263.00 |
| Oregon income tax | $4,359.13 |
That works out to about $363 a month, or an effective rate of 6.71% of wages. Each rate applies only to the part of taxable income inside its bracket.
Calculators for Oregon
- Paycheck calculator
Take-home pay after federal income tax, Social Security, Medicare, and Oregon income tax, with Oregon selected.
- Tips and overtime calculator
Your federal deduction for qualified tips and overtime, with Oregon selected and its state rules applied to the Oregon estimate.
- Senior deduction calculator
A federal deduction of up to $6,000 for each person 65 or older, after the income phase-out.
- Car loan interest calculator
A federal deduction for interest on a loan for a new, U.S.-assembled vehicle. Oregon doesn’t allow it on the state return (SB 1507, 2026).
Does Oregon tax tips and overtime?
Oregon follows the federal tips and overtime deduction. Oregon allows the same tips and overtime deductions you claim on your federal return; nonresidents have limits. SB 1507 (2026) disconnects from the car loan interest deduction, not from these.
The example on this page taxes full wages. The tips and overtime calculator subtracts the deduction for your tips and overtime before it estimates your Oregon tax.
Source: Oregon DOR: Publication OR-17 (PDF), January 29, 2026; Oregon DOR: 2026 summary of legislation, 2026. Checked . See how every state treats tips and overtime
To see your federal deduction and Oregon tax together, open the tips and overtime calculator with Oregon selected.
Local income taxes in Oregon
Portland Metro and Multnomah County add taxes on higher incomes.
These local taxes are not included in the estimate above.
Oregon vs. neighboring states
Oregon has the highest estimated bill among its neighbors. Workers in Nevada, Washington, California, and Idaho would owe less on the same salary.
| State | Est. tax on $65,000 | vs. Oregon |
|---|---|---|
| Nevada | $0 | −$4,359 |
| Washington | $0 | −$4,359 |
| California | $1,975 | −$2,385 |
| Idaho | $2,337 | −$2,022 |
Official source
For forms, exact brackets, and filing deadlines, go to the official Oregon tax agency website.
Related states
- California1%–13.3% progressive
- Idaho5.3% flat tax
- NevadaNo state income tax
- WashingtonNo state income tax