Oregon vs Washington Payroll Comparison

Compare payroll compliance requirements between Oregon and Washington. See key differences in wages, taxes, leave policies, and employer obligations.

Compare State Payroll Requirements

Select 2 states to compare their payroll compliance requirements side-by-side.

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RequirementOregonWashington
Minimum Wage⚠️Varies: Portland Metro $15.95, Standard $14.70, Rural $13.70 (2024)⚠️$17.13/hour (2026); Seattle $21.30
Tipped MinimumSame as regular minimum wage (no tip credit)$17.13 (no tip credit)
Overtime Threshold⚠️40 hours/week; some daily OT for ag/manufacturing40 hours/week
Final Pay (Termination)⚠️Immediately (within 24 hours if requested)End of next regular pay period
Final Pay (Resignation)Within 5 business days (or next payday if sooner)End of next regular pay period
PTO Payout Required?⚠️Yes, if employer policy promises itNo (unless policy requires)
Pay Frequency MandateAt least monthly; 35 days max between pay periodsAt least monthly
State Income Tax⚠️Yes (4.75% - 9.9% progressive)None
Unemployment InsuranceYesYes
State Disability InsuranceNo (but PFMLI provides some coverage)No (separate from PFML)
Paid Family Leave⚠️Yes - PFMLI (2023)⚠️Yes (WA PFML)
Paid Sick Leave⚠️Yes - 40 hours/year required⚠️Yes (1 hour per 40 hours)
Workers' Comp Required⚠️Yes (all employers)⚠️Yes (all employees)
⚠️More restrictive / complexSimpler / no requirement

Summary

Oregon has the most complex compliance requirements. Key differences: Washington has no state income tax.

Key Differences: Oregon vs Washington

OROregon

  • Minimum Wage:Varies: Portland Metro $15.95, Standard $14.70, Rural $13.70 (2024)
  • Tipped Minimum:Same as regular minimum wage (no tip credit)
  • Overtime Threshold:40 hours/week; some daily OT for ag/manufacturing
  • Final Pay (Termination):Immediately (within 24 hours if requested)
  • Final Pay (Resignation):Within 5 business days (or next payday if sooner)
  • PTO Payout Required?:Yes, if employer policy promises it
View full Oregon guide →

WAWashington

  • Minimum Wage:$17.13/hour (2026); Seattle $21.30
  • Tipped Minimum:$17.13 (no tip credit)
  • Overtime Threshold:40 hours/week
  • Final Pay (Termination):End of next regular pay period
  • Final Pay (Resignation):End of next regular pay period
  • PTO Payout Required?:No (unless policy requires)
View full Washington guide →

Understanding Oregon and Washington Payroll Differences

State Income Tax: Oregon has state income tax (Yes (4.75% - 9.9% progressive)), while Washington has no state income tax. This significantly impacts both employer withholding responsibilities and employee take-home pay.

Minimum Wage: Oregon minimum wage is Varies: Portland Metro $15.95, Standard $14.70, Rural $13.70 (2024), compared to Washington at $17.13/hour (2026); Seattle $21.30. Employers must pay at least the higher of federal, state, or local minimum wage requirements.

Paid Sick Leave: Oregon: Yes - 40 hours/year required. Washington: Yes (1 hour per 40 hours). States with mandatory paid sick leave require employers to track accruals and provide specific leave entitlements.

For complete compliance requirements, review the full state guides for Oregon and Washington.