Last updated
Oregon uses a graduated state income tax with four brackets ranging from 4.75% to 9.9% in 2026. Oregon's average annual salary is approximately $62,000. Oregon has no state sales tax — one of only five US states without one — which partially offsets the higher income tax rates for middle and lower-income earners. Oregon also levies a statewide transit tax of 0.1% on all wages. On a $70,000 salary, a single Oregon worker pays approximately $4,714 in state income tax plus $70 transit tax — taking home approximately $53,290 after all federal and state deductions.
Oregon: 2026 brackets (4.75%–9.9%) after the OR standard deduction ($2,910 single / $5,820 married filing jointly), the federal income tax subtraction (up to $8,750) and the $263 personal exemption credit — an annual-tax estimate, not OR-W-4 withholding. The 0.1% statewide transit tax, Paid Leave Oregon and TriMet/LTD taxes are not included. Rates: Oregon Department of Revenue. Confirm with payroll.
Bi-weekly take-home
$2,052.37
Annual net: $53,362
Where your pay goes
Effective rate
23.8%
Federal marginal
22.0%
State tax uses 2026 Oregon brackets, standard deduction and credits for your filing status (state marginal rate 8.75%). City/county income taxes and state disability or leave payroll deductions are not included.
| Deduction | Rate | On $70,000 Salary |
|---|---|---|
| Federal income tax | 10%–22% progressive | ~$6,570 |
| Oregon state tax | 4.75%–8.75% | ~$4,714 |
| Oregon transit tax | 0.1% | $70 |
| Social Security | 6.2% | $4,340 |
| Medicare | 1.45% | $1,015 |
| Est. total deductions | — | ~$16,709 |
| Est. net take-home | — | ~$53,290 |
| Income (Single) | Rate |
|---|---|
| $0 – $4,550 | 4.75% |
| $4,550 – $11,400 | 6.75% |
| $11,400 – $125,000 | 8.75% |
| Above $125,000 | 9.9% |
| State | State Tax on $70K | Sales Tax | Est. Net Take-Home |
|---|---|---|---|
| Oregon | ~$4,714 | None | ~$53,290 |
| Washington | $0 | 6.5%+ | ~$58,075 |
Oregon vs Washington is the most searched paycheck comparison in the Pacific Northwest. Washington has no income tax but charges 6.5%+ sales tax. Oregon has no sales tax but charges income tax up to 9.9%. For a single $70,000 earner, Washington take-home is approximately $4,800 higher per year — but Oregon residents save on every purchase they make.
Oregon's statewide transit tax of 0.1% is withheld from all wages earned in Oregon. On $70,000 salary, this equals $70/year. The Portland metro area (TriMet district) and Eugene area (Lane Transit District) have additional employer-side transit payroll taxes — these are paid by employers, not employees, but may affect total compensation packages at some companies.
On a $70,000 salary in Oregon (single filer, no pre-tax deductions), total deductions include approximately $6,570 federal income tax, $4,714 Oregon state tax, $70 transit tax, $4,340 Social Security, and $1,015 Medicare — totaling approximately $16,709. Net take-home is approximately $53,290 per year or $4,441 per month. The calculator shows about $53,362 because it does not deduct the transit tax.
Oregon has four graduated brackets in 2026. For single filers: 4.75% on taxable income up to $4,550, 6.75% on $4,550–$11,400, 8.75% on $11,400–$125,000, and 9.9% above $125,000 (married filing jointly: $9,100 / $22,800 / $250,000). Most Oregon workers fall in the 8.75% bracket. Taxable income is wages minus the OR standard deduction ($2,910 single / $5,820 joint) and federal income tax paid (up to $8,750).
No. Oregon has no state sales tax — one of only five US states without one. Oregon residents pay no sales tax on groceries, clothing, electronics, or vehicles. This significantly reduces cost of living compared to neighboring Washington state (6.5%+ sales tax).
On a $70,000 salary (single filer), an Oregon resident takes home approximately $53,290 after the transit tax vs $58,075 in Washington — a difference of about $4,785 per year in favor of Washington. However, Oregon residents save on every purchase with no sales tax, which partially offsets the income tax difference.
Oregon levies a statewide transit tax of 0.1% on all wages — $70/year on a $70,000 salary. This is withheld separately from state income tax. Portland area employees may also work for companies subject to TriMet employer payroll taxes, though these are employer-paid.
Oregon state income tax is withheld from each paycheck. Annual returns are due April 15, 2026. Oregon uses Form OR-40 for individual returns.
Educational estimates only. Not IRS or payroll advice.