Server and bartender pay in Oregon
In Oregon, employers must pay tipped staff at least $14.70 an hour in cash before tips. Oregon does not allow a tip credit, so tipped workers earn the full $14.70 minimum wage plus their tips.The approximate effective state income tax on tips is 7.5%.
| Tipped cash minimum wage | $14.70 / hour |
|---|---|
| Standard minimum wage | $14.70 / hour |
| Tip credit allowed? | No |
| Approx. state income tax on tips | 7.5% |
What this means for your take-home
Your paycheck is the cash wage above, and your tips are on top of it. Because you earn the full minimum wage, your tips are a true bonus on a solid base, but they are still taxable income to track.Whatever your setup, your true hourly is your cash wage plus your net tips, divided by hours worked.
What to set aside for taxes in Oregon
A rule of thumb is 20% to 30% of tips. With Oregon's approximate 7.5% state rate on top of federal and FICA, use the tax set-aside calculator for a closer number, and read how much to save for taxes on tips.
Figures are approximate and change. Verify current wage rates with the Oregon labor department and confirm taxes with a professional.
Track your Oregon tips, tip-out, and true hourly in 30 seconds a shift.
Get Tipfolio