Commuter taxes 2026

Live in Oregon, work in Washington

Oregon taxes its resident wages even when every workday is in Washington. Arrange Oregon payments with payroll or check estimated payments.

By Abu HasnatPage updated Nov 7, 2026Data: Oregon and Washington revenue departments (methodology)

Choose your next step

Payroll starting point: 2026 Oregon OR-W-4 and estimated-payment guidance (opens in new tab). Confirm whether payroll offers Oregon withholding; also check separate OR-STI filing if Statewide Transit Tax is not withheld.

Official tax guidance for both states

Check withholding, filing requirements and current forms with each state's tax agency.

Oregon: Oregon Department of Revenue (opens in new tab)
Washington: Washington Department of Revenue (opens in new tab)

Agency directory checked 2026-10-01 against the IRS state-government directory. This verifies the agency links, not an individual tax result. Use forms for the year you are filing.

Before you use this estimate

This model assumes a full-year resident of Oregon, ordinary employee wages and all workdays physically in Washington. Check exemption eligibility before treating a work-state amount of $0 as your own result. Withholding is a prepayment, not final tax liability. Other income, a move during the year, remote work and separate local taxes or credits can change the result.

I live inI work inAnnual wages ($)Filing status

State income tax: $7,148 a year

Modeled annual state income tax for living in Oregon and working in Washington: about $7,148 on $100,000 of wages.

Limits of this estimate:

Oregon uses provisional withholding-based 2026 planning inputs; confirm the final annual-return parameters.

Your work state has no tax on wages, so you pay only your home state.

Tax guide and official sources: live in Oregon, work in Washington

Official agency starting points: Oregon tax agency (opens in new tab) · Washington tax agency (opens in new tab). These directory links identify the selected states' agencies, not your filing obligations. Check their individual-tax guidance and forms for the year you are filing.

Tax to Washington

nonresident

Tax to Oregon

$7,148

resident

Total state tax

$7,148

Typical state returns

This is the usual filing pattern, not a determination that you must file. Filing thresholds, age or dependent status, other income and withholding refunds can change which returns you need.

How this $100,000 estimate adds up

These steps follow the selected home, work state, salary and filing status. They reconcile the model's annual liability, not the amounts withheld from your paycheck.

Modeled state income tax for Oregon residence and Washington work
Step	Washington work state	Oregon home state
Tax before the modeled other-state credit	$0	$7,148
Modeled other-state credit subtracted	$0	$0
Tax after that credit	$0	$7,148

Total: $0 + $7,148 = $7,148 a year. Amounts are rounded for display. Work-state wage exemptions, when applicable, are already reflected in the first row; they are not an other-state credit.

No other-state credit is subtracted in this selected scenario. Included county components stay in these amounts; excluded local taxes and credits stay excluded. Federal income tax, payroll programs and refund eligibility are outside this reconciliation.

State tax at different salaries

Wages	To WA	To OR	Modeled total	If you worked in OR
$50,000	$0	$3,204	$3,204	$3,204
$75,000	$0	$5,055	$5,055	$5,055
$100,000	$0	$7,148	$7,148	$7,148
$150,000	$0	$12,805	$12,805	$12,805
$250,000	$0	$22,705	$22,705	$22,705

Single filer, all wages earned in Washington, 2026 state tax rules, standard deductions. Local income taxes not included.

From paycheck withholding to your returns

Withholding: Ask your Washington employer whether it withholds Oregon resident income tax and accepts the 2026 OR-W-4. Oregon cannot require courtesy withholding in the out-of-state-employer case described in its guidance where the employer has no employees working in Oregon. If Oregon withholding will be inadequate, check 2026 Publication OR-ESTIMATE: the usual $1,000 balance threshold and required-payment tests both matter. Washington has no 2026 individual wage income tax to withhold.
Returns: Report the Washington wages on Oregon resident Form OR-40, using the filing-year resident income thresholds and required federal-return attachments. A Washington workplace does not remove Oregon resident liability. Separately, an Oregon resident who works outside Oregon for an outside-Oregon employer that does not withhold Statewide Transit Tax must check Form OR-STI and include W-2 copies when filing it. The linked OR-40 and OR-STI annual instructions are the published 2025 editions, not final 2026 return instructions.
Credit or refund: For ordinary 2026 W-2 wages, Washington charges no individual wage income tax, so there is no Washington income tax to claim as an Oregon other-state credit. Washington payroll deductions are not automatically creditable income taxes. Oregon withholding or estimated payments are prepayments reconciled on OR-40; any Statewide Transit Tax return and Portland-area local taxes remain separate from this state-income-tax estimate.

Worked example: $100,000 of wages

Single filer, full-year resident of Oregon, all work performed in Washington, no other income, standard deductions and modeled personal exemptions. Washington does not tax these employee wages in this scenario. Pay a modeled $7,148 to Oregon and $0 to Washington, total $7,148. No other-state income-tax credit is subtracted.

The Oregon amount uses provisional 2026 withholding-based planning inputs. The linked 2025 annual-return instructions support the filing workflow; they do not verify the final 2026 annual-return parameters. Confirm the final annual schedule, deductions and credits before filing. This update does not change the calculator's numerical inputs.

Annual liability, not paycheck withholding or a refund estimate. Federal tax, payroll programs, other local taxes, special credits and part-year residency are excluded. Local income taxes not included.

Remote-work and local exceptions

This ordered route assumes full-year Oregon residence and every workday physically in Washington. Oregon continues to tax resident wages if some days are instead worked at the Oregon home. Keep work-location records and tell payroll about a change: Oregon home-working can change the employer withholding analysis even though Oregon already taxes your resident wages. The calculator does not determine hybrid payroll coverage, paid-leave contributions or other employee premiums.

Portland resident working in Vancouver: local residence still matters

A full-year resident inside Metro and Multnomah County must check resident SHS/PFA thresholds and Forms MET-40/MC-40 even when working in Vancouver. An Oregon home outside those jurisdictions, with all work in Washington and no other local-source income, has a different local filing analysis. Verify the home address in the official boundary tools; OR-40 and OR-STI do not settle these local returns.

Official forms and instructions

Source audit 2026-11-01. Use the return and instructions for the year you are filing; a current-forms link may still show a prior-year return. Official sources checked; not independently reviewed.

Check your payslip and keep these records

Compare the payroll certificate you supplied with the state withholding on your next payslip. Check city, county and school-district entries separately; a state exemption does not settle local tax.
Keep your W-2 and other withholding statements, copies of payroll certificates, filed state and local returns, and proof of tax paid. A refund depends on actual withholding and the completed return, not this annual estimate.
Keep an actual work-location log, including home-working days. This calculator assumes ordinary employee wages, full-year residence in Oregon and every workday physically in Washington.
If you moved during the year, have nonwage income or do not meet that scope, follow the pair's remote and local exceptions and the moving-year tax guide before using the amount as your own result. This tool does not calculate hybrid allocation, local credits or a personal refund.

What to do

Keep a record of the days you work in each state, especially if you sometimes work from home.

Local income taxes

Oregon: For 2026, Metro Supportive Housing Services tax is 1% of Metro taxable income above $128,000 Single or $205,000 joint. Multnomah County Preschool for All tax is 1.5% above $125,000 Single or $200,000 joint, with an additional 1.5% above $250,000 Single or $400,000 joint. These separate local taxes can apply to district residents and nonresidents on income earned in the district; they are excluded here. Oregon's separate Statewide Transit Tax is 0.1% on Oregon residents' wages regardless of where they work and on nonresidents' wages for services performed in Oregon; this payroll tax is also excluded from the commuting state-income-tax estimate.

Frequently asked questions

Do I pay Washington income tax if I live in Oregon?

No. Your work state has no tax on wages, so you pay only your home state.

Do I have to file taxes in both Oregon and Washington?

Report the Washington wages on Oregon resident Form OR-40, using the filing-year resident income thresholds and required federal-return attachments. A Washington workplace does not remove Oregon resident liability. Separately, an Oregon resident who works outside Oregon for an outside-Oregon employer that does not withhold Statewide Transit Tax must check Form OR-STI and include W-2 copies when filing it. The linked OR-40 and OR-STI annual instructions are the published 2025 editions, not final 2026 return instructions.

Will I be taxed twice?

No. Washington doesn't tax these wages at the state level; the modeled Oregon tax is about $7,148 on $100,000. Local taxes need a separate check.

Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.