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Do a paycheck checkup with the Oregon withholding calculator

Oregon withholding calculator

Our withholding calculator will help you get the correct amount of tax withheld. We won't ask you for personal information, such as your name or Social Security number. We won't store your information anywhere.

Step 1: Learn about Oregon withholding

If withholding is new to you, or if you just want to know more about it, scroll down to view our withholding FAQ. When you're ready, go to Step 2.

Step 2: Gather your information

Here's what you'll need to have with you before you start using the calculator. You'll need these items for yourself and for your spouse, if you're married and will be filing a joint return.

  • The most recent paystub(s) from your current job(s), if any.
  • A copy of federal Form W-4 from your current job(s), if any, if your paystub doesn't show your federal withholding information.

For the most accurate results, have these items with you as well:

  • A copy of last year's Oregon and federal tax returns.
  • Estimates of:
    • How much money you'll be making this year from your job(s) and other income that you'll pay taxes on.
    • Deductions you'll take on this year's tax return, like student loan interest or property taxes.
    • How much you'll be paying for dependent care this year.

A good guess is all you need. If you don't know what these amounts will be, you can skip those fields in the calculator. The closer you can get to the actual amounts, however, the better your results will be.

Step 3: Start using the calculator

If you get stuck along the way, just click on the information icons for help. 

Frequently Asked Questions 

​No. The worksheets are for you to use. Keep them with your tax records, along with a copy of your completed Form OR-W-4. Give the original Form OR-W-4 to your employer or other payer.​

​No. You should complete only the worksheets that apply to your situation.​

​No. You won't be asked to enter your name, Social Security number, or other identifying information. The information that you enter will not be stored anywhere.​

No. If you need to have Oregon tax withheld from your pension, annuity, or other periodic payment, use Form OR-W-4. However, you may use federal Form W-4P (the federal withholding form for pensions) for Oregon purposes if:

  • You are electing to have no federal tax withheld and you also don't want Oregon tax withheld, or
  • You are claiming an exemption from both federal and Oregon withholding.​

​The withholding calculator uses information from you and the withholding formula that your employer uses to figure out how much tax the employer will withhold. The calculator also uses information from you to figure out what your tax will be when you file your return. Then it compares the tax from the return to the amount that will be withheld, and lets you know if you're going to owe tax or get a refund when you file.

If you're likely to owe tax, the calculator may suggest how you can increase your withholding or recommend estimated tax payments. If you're likely to get a refund, it may suggest how you can reduce your withholding so that you have more money available during the year.​

Your employer or other payer withholds the amount of tax that you tell them to withhold. A completed federal Form W-4 will tell your employer how much federal income tax to withhold. A completed Oregon Form OR-W-4​ will tell your employer how much Oregon income tax to withhold. 

Your employer or other payer holds back (withholds) the tax from each paycheck or other payment. They send the federal tax amount to the Internal Revenue Service (IRS) and the Oregon tax amount to the Oregon Department of Revenue, where it is applied to your tax account.​

​Your employer or other payer should tell you how much tax was withheld each time they give you your paycheck or other payment. In January, they must send you a statement, Form W-2, showing how much federal and state tax was withheld during the year. You'll use the information on Form W-2 when you file your federal and state tax returns.​

​Yes. Check the box on the “Wages" screen to indicate that you don't have any wages from jobs to enter in the calculator. On the following screen, enter your net income from self-employment as “Other earned income." The calculator will show how much the total tax will be on your return, which you can use to figure your estimated tax payments. Read Publication OR-ESTIMATE​ for more information about making estimated tax payments.

​The calculator figures out how much will be withheld based on how your employer will figure your withholding. A bonus is usually paid separately from your regular pay.  Your employer will figure withholding for the bonus separately, so the calculator figures it separately as well.​

​Oregon doesn't tax Social Security benefits. However, the amount that you report on your federal return may affect whether you are able to qualify for certain credits, such as the earned income credit. Enter the taxable amount first as “other income" and then enter the same amount as an Oregon subtraction. ​

​You must file a return after the year ends to get a refund of withheld tax. ​

No. State withholding is separate from federal withholding.  

​The Form OR-W-4 Instructions​ contain three worksheets that you can use to figure out your withholding. Worksheet A is used for figuring out your personal allowances. Use Worksheet B if you will have other income or deductions when you file your return. Worksheet C is for people whose households have more than one job.

The worksheets will require you to have the same type of information on hand that the calculator uses, but the calculator may give you more accurate results. 

​No. The refund you receive when you file your return may be a combination of withheld tax, estimated or other tax payments, and refundable credits. The calculator figures out how much tax should be withheld in order for you to owe little to no tax when you file. Credit amounts that reduce your tax below zero aren't included in your result. Your actual refund may be more that the amount shown in your result if you qualify for refundable credits.  ​

​Your income may be exempt from Oregon withholding for a variety of reasons. For example, if you had a right to a refund of all Oregon tax withheld last year because you had no tax liability, and you expect a refund of all tax withheld this year for the same reason, you may claim that your income is exempt from withholding. For other reasons why your income may be exempt from Oregon withholding, and instructions for claiming the exemption, see Form OR-W-4 Instructions​.

​A withholding allowance represents a portion of your income that isn't taxed. The more allowances you claim, the less tax will be withheld.  For Oregon, one allowance is equal to one personal exemption credit's worth of tax for the year. ​

“Withholding" is the portion of your wages or other income that your employer or other payer holds back to pay for your personal income taxes during the year. By giving the employer or other payer a completed withholding form, you are telling them how much tax they should withhold from each paycheck or other payment. ​

You should update your withholding:

  • Any time that your job or other income changes.
  • When you have a change in your personal life that can affect your taxes, such as getting married or having a baby.
  • If you find that you owe tax when you file your return.
  • If you received a large refund and you want to reduce the amount that is being withheld from your pay.​

​You can get the form and instructions from our forms webpage

Your employer or other payer should be able to provide the form and instructions for you as well.

​Federal Form W-4 can't be used for Oregon withholding purposes anymore.​

The IRS changed Form W-4 a few years ago after a federal law called the “Tax Cuts and Jobs Act" was passed. The law suspended the personal exemption deduction for tax years 2018 through 2025. The personal exemption deduction reduced the amount of your income that was subject to federal tax.

Before 2018, you could claim one deduction for yourself, one for your spouse, and one for each dependent on your federal income tax return. For withholding purposes, each allowance claimed on federal Form W-4 was equal to one personal exemption deduction for the year on your federal return. If the federal form was used for Oregon withholding, then each allowance was equal to one personal exemption credit's worth of tax for the year on your Oregon return.

After the law changed, the IRS changed Form W-4 and the federal withholding formulas so that allowances were no longer used. However, Oregon's withholding laws require allowances to be used, and that is why the federal form can't be used now. ​

​The calculator figures out how much your total withholding will be for the entire year, based on the starting and ending dates and other information that you enter for each job. If you're using the calculator after you've already had tax withheld for the year, the calculator will use your actual withholding when it figures your total withholding for the year. ​

​You may qualify to claim certain tax credits, such as Oregon's earned income credit (EIC) or the federal child tax credit (CTC). The amount of the credit may be affected by the age of your child or other dependent. For example, Oregon's EIC is 9 percent of the federal earned income tax credit (EITC), which is increased to 12 percent if you have a child under age three at the end of the year. The calculator uses the information about your dependent's age to figure out how much these tax credits will be.​

​Your marital status determines which set of tax brackets you'll use when you file your return. It also determines which tax brackets your employer will use when they figure your withholding.

A tax bracket is a range of income that is taxed at a certain rate. Oregon has two sets of tax brackets: one set for people who are married (or people whose filing status is head of household or qualifying surviving spouse) and one set for people who are single (or people who are married but filing separate returns). Income in the lowest bracket is taxed at 4.75 percent. The second bracket is taxed at 6.75 percent. Income in the third bracket is taxed at 8.75 percent, and all income above the third bracket is taxed at 9.9 percent.​

More information

Read Form OR-W-4 Instructions for more information about Oregon income tax withholding. The form and instructions are available in English and Spanish.