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Oregon has one of the US’s highest income tax rates (top 9.9%), mandatory Paid Leave Oregon (PLO) contributions, statewide paid sick leave, no sales tax, and Portland’s metro-area local income taxes. Rippling handles OR DOR, OED, PLO, and Portland/Metro/Multnomah filings.
Oregon is a major Pacific Coast economy with strengths in technology (Portland/Beaverton/Hillsboro — Intel, Nike, Adidas), manufacturing, agriculture, and outdoor recreation. Oregon payroll is complex: a high progressive income tax (top 9.9%), mandatory Paid Leave Oregon (PLO) contributions, Oregon Sick Leave, the Oregon Corporate Activity Tax, and Portland-area local income taxes (Portland Metro SHS and Multnomah County PFA). No state sales tax, but payroll compliance complexity is among the highest in the US.
Rippling’s Oregon payroll module provides:
| Contribution | Rate | Notes |
|---|---|---|
| FUTA | 6.0% (net 0.6%) | After SUTA credit; first $7,000 |
| OR SUI (OED) | New employer 2.1% | On first $52,800 of wages (2024) — one of the highest wage bases in the US |
| PLO (employer) | 40% of total PLO premium | For employers with 25+ employees; under 25 employees pay 0% employer share |
| Social Security | 6.2% | Up to $168,600 (2024) |
| Medicare | 1.45% | No wage base limit |
| Workers’ Compensation | Varies by risk class | Mandatory |
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| Contribution | Rate | Notes |
|---|---|---|
| Federal Income Tax | Graduated 10–37% | Per W-4 |
| Social Security | 6.2% | Up to $168,600 (2024) |
| Medicare | 1.45% + 0.9% surtax | Surtax above $200K single |
| Oregon State Income Tax | 4.75%–9.9% | 4-bracket progressive; top rate 9.9% on income above $125,000 single |
| Paid Leave Oregon (PLO) | 60% of total PLO premium (employee share) | Total PLO premium: 1% of wages (2024) |
| Portland Metro SHS | 1% on income above $125,000 single | Residents or employees earning above threshold in Portland Metro area |
| Multnomah County PFA | 1.5% on income above $125,000 single | Multnomah County residents |
| Oregon Income (Single, 2024) | OR Rate |
|---|---|
| Up to $18,400 | 4.75% |
| $18,401–$46,200 | 6.75% |
| $46,201–$250,000 | 8.75% |
| Above $250,000 | 9.9% |
Plus Paid Leave Oregon (PLO) contributions. Portland Metro SHS (1%) and Multnomah County PFA (1.5%) add to high-earner burden in the Portland area.
Final Pay: Involuntary termination: within 1 business day. Voluntary resignation with 48+ hours notice: final day of work. Voluntary resignation without 48 hours notice: within 5 days or next regular payday (whichever comes first). Accrued vacation: Oregon Wage Security Act treats promised vacation as wages — must be paid on termination.
Paid Leave Oregon (PLO) provides up to 12 weeks of paid family or medical leave (14 for pregnancy complications). Benefits began September 3, 2023. Total premium: 1% of wages. Employee contributes 60%; employer contributes 40% (employers with 25+ employees; under 25 pay 0% employer share). Benefits paid at 60–100% of wages, capped at 120% of state AWW. Rippling manages PLO withholding, employer contributions, and quarterly OED remittances.
Portland Metro Supportive Housing Services (SHS) tax: 1% on personal income above $125,000 (single)/$200,000 (joint) for individuals who live or work in the Portland Metro area. Multnomah County Pre-K for All (PFA) tax: 1.5% on personal income above $125,000 (single)/$200,000 (joint) for Multnomah County residents. Both require employer withholding and separate remittances. Rippling tracks these taxes for applicable employees.
Oregon has three minimum wage rates based on geography: Portland Metro (Urban Growth Boundary): $16.45/hour (July 2024); Standard (most of Oregon): $15.45/hour; Non-urban (rural counties): $14.20/hour. Rates adjust annually. Rippling applies the correct tier based on employee work location.
Oregon’s sick leave law requires: 40 hours paid sick leave/year for employers with 10+ employees (1 hour per 30 hours worked); 40 hours unpaid for employers with under 10 employees. Sick leave can be used for the employee’s own illness, care for a family member, domestic violence, or public health emergency. Rippling tracks Oregon sick leave accrual.
