What is the Metro SHS tax?

The Metro Supportive Housing Services (SHS) tax is a 1% income tax on Oregon taxable income above $125,000 (single) or $200,000 (MFJ) for all residents of the Metro district — Multnomah, Washington, and Clackamas counties within Metro boundaries. It funds services for homeless individuals. Metro SHS taxes are filed separately with Metro, not with your Oregon state return. Employers may or may not withhold it automatically.

What is the Multnomah PFA tax?

The Multnomah County Preschool for All (PFA) tax applies to Multnomah County residents only. It charges 1.5% on Oregon taxable income between $125,000 and $250,000 (single) and 3.0% on income above $250,000. For MFJ filers, the tiers are $200,000 and $400,000. The PFA tax is filed and paid separately to Multnomah County. Like Metro SHS, most employers do not automatically withhold it — taxpayers must make estimated quarterly payments to avoid underpayment penalties.

How does Oregon's state income tax compare to other states?

Oregon's top marginal rate of 9.9% kicks in at $125,000 (single), which is relatively low compared to California's 13.3% top rate (which only applies above $1 million). Oregon has no sales tax, which partially offsets the high income tax for lower-to-middle incomes. For high earners in Portland specifically, the combination of Oregon state + Metro SHS + Multnomah PFA can reach 13.9% marginal rate — higher than any US state's top state rate except California.

Do I have to pay Metro SHS and Multnomah PFA separately?

Yes. Metro SHS is paid directly to Metro (oregonmetro.gov). Multnomah PFA is paid directly to Multnomah County. Both are separate from your Oregon state return. Employers are not required to withhold these taxes and many don't, especially for non-Portland employees. Self-employed individuals must make quarterly estimated payments to all three taxing authorities. Failure to pay quarterly can result in underpayment penalties.

Is moving to Washington or Clackamas County worth it to avoid the PFA tax?

The math is straightforward: a Multnomah County resident earning $300,000 (single) owes roughly $3,750–$5,250 in Multnomah PFA tax. Moving across the county line to Beaverton (Washington County) eliminates that tax while keeping similar Metro-area access. Whether the housing cost difference, commute, and other factors justify the move is personal — but the tax savings are real and compounding over time.

Tax

Oregon Metro & Multnomah County Income Tax Calculator

Calculate all three Oregon income taxes at once: state (up to 9.9%), Metro SHS (1%), and Multnomah PFA (1.5%–3%). Portland residents can face marginal rates above 13.9%.

By The FinCalc TeamUpdated May 30, 2026

Oregon has some of the highest combined state and local income tax rates in the United States. Portland-area residents face a stack of three separate income taxes: Oregon state tax (up to 9.9%), the Metro Supportive Housing Services tax (1% above $125,000 single), and the Multnomah County Preschool for All tax (1.5%–3.0% above $125,000). Combined, a high-income Portland resident can face a marginal rate above 13.9%. This calculator breaks down all three taxes and compares the total burden by where you live within the Metro area.

How Oregon's Stacked Income Taxes Work

Oregon has three separate income tax systems that stack for Multnomah County residents:

1. Oregon State Income Tax — Progressive brackets (2025, single):

4.75% on first $10,200
6.75% on $10,200–$25,500
8.75% on $25,500–$125,000
9.9% on everything above $125,000

MFJ thresholds double. A standard deduction ($2,420 single / $4,840 MFJ) and personal exemption credit ($236/exemption) reduce the state tax.

2. Metro Supportive Housing Services (SHS) Tax — 1% flat tax on Oregon taxable income above $125,000 (single) / $200,000 (MFJ). Applies to all Metro district residents in tri-county area. Filed separately with Metro.

3. Multnomah County Preschool for All (PFA) Tax — Two-tier tax for Multnomah County residents only:

1.5% on income $125,000–$250,000 (single) / $200,000–$400,000 (MFJ)
3.0% on income above $250,000 (single) / $400,000 (MFJ)

Filed separately with Multnomah County.

Combined top marginal rate example (Multnomah County, $300K single income): Oregon state 9.9% + Metro SHS 1% + Multnomah PFA 3.0% = 13.9% marginal rate

When to Use This Calculator

Use this calculator when:

Evaluating where to live in the Portland metro area — The tax difference between Multnomah County and Washington/Clackamas County is significant at higher incomes. This calculator shows the exact dollar difference.
Estimating quarterly estimated tax payments — Most employers don't automatically withhold Metro SHS or Multnomah PFA. This calculator shows how much you need to pay quarterly to each taxing authority.
Negotiating compensation — If a Portland employer is asking you to relocate, understanding the full tax stack helps you negotiate a salary that accounts for the higher combined burden.
Planning significant income events — Capital gains, RSU vesting, or bonus income that pushes you above $125,000 in Oregon can trigger both Metro SHS and Multnomah PFA on the increment. Model the marginal cost before timing transactions.
Comparing Oregon to no-income-tax states — Washington state (no income tax) is directly adjacent to Oregon, and many Portland-area workers live in Washington. This calculator shows what the state/local income tax cost is for Oregon residency.

Understanding the Inputs

Oregon AGI: Oregon Adjusted Gross Income — generally similar to federal AGI with Oregon-specific adjustments. Oregon does not tax Social Security benefits. Oregon does not conform to some federal deductions (e.g., qualified business income deduction has Oregon equivalents). Military retirement pay has a partial Oregon exclusion. Use your estimated Oregon AGI.
Filing Status: Filing status affects Oregon's standard deduction, personal exemption credit, and the income thresholds for both the Metro SHS and Multnomah PFA taxes. Single threshold for both local taxes is $125,000; MFJ threshold is $200,000. These thresholds are NOT inflation-indexed, meaning more households are subject to them each year as incomes rise.
Where You Live: Your county of residence determines which local taxes apply. Multnomah County residents (Portland, Gresham, Troutdale) pay all three taxes. Washington County and Clackamas County residents in the Metro district (Beaverton, Hillsboro, Lake Oswego, Tualatin) pay Oregon state + Metro SHS but NOT Multnomah PFA. Residents outside the Metro district (Salem, Eugene, Bend, etc.) pay only Oregon state income tax.
Personal Exemptions: Oregon provides a personal exemption credit of $236 per exemption (2025, indexed annually). Single filers claim 1 exemption; MFJ filers claim 2. Additional exemptions may be available for dependents and certain disabilities. This credit directly reduces Oregon income tax owed, not taxable income.

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The FinCalc Team

Personal Finance Experts

The FinCalc team is a group of personal finance writers, analysts, and engineers dedicated to building accurate, transparent financial calculators. Every formula is verified against industry standards and explained in plain language.

Last reviewed and updated: May 30, 2026