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Taxes
Oregon Payroll Taxes 2026: Complete Overview for Employers
Oregon graduated 4.75%–9.9% income tax, SUI on the first $54,300, and all employer tax obligations explained.
Practical guides on OR payroll taxes, employer registration, SUI, minimum wage, and labor laws — written for small business owners, not accountants.
Written by payroll professionals at Pacific Data Services — trusted since 1969.
Oregon’s top rate of 9.9% is among the highest in the nation, with four brackets starting at 4.75%.
At $54,300, Oregon has one of the highest SUI wage bases in the country, significantly increasing per-employee unemployment costs.
Oregon has no sales tax and does not allow a tip credit, meaning tipped employees receive the full $14.70/hr minimum wage.
Oregon graduated 4.75%–9.9% income tax, SUI on the first $54,300, and all employer tax obligations explained.
Get your EIN, register with Oregon, set up withholding, new hire reporting — the complete checklist.
New employer rate 2.4%, experienced range 0.90%–5.40%, wage base $54,300.
Oregon minimum wage $14.70/hr. Oregon’s standard minimum wage is $14.70/hr (Portland metro may be higher). No tip credit is allowed.
IRS classification rules, Oregon-specific considerations, misclassification penalties.
Gusto vs Paychex vs QuickBooks vs ADP — detailed comparison for Oregon small businesses.