Oregon new wage earnings and deductions explanation
Effective date: January 1, 2026
This applies to: Employers with employees in Oregon
Description of change: On May 28, 2025, Oregon Governor Tina Kotek signed SB 906, requiring employers to give all employees, at the time of hire, a written explanation of earnings and deductions shown on the required itemized statements.
The explanation must include general information on:
- The employer’s established regular pay period.
- A comprehensive list of:
- All types of pay rates that employees may be eligible for, including hourly pay, salary pay, shift differentials, piece-rate pay, and commission-based pay.
- All benefit deductions and contributions.
- Every type of deduction that might apply.
- The purpose of deductions that might be made during a regular pay period.
- Allowances, if any, claimed as part of the minimum wage.
- Employer-provided benefits that might appear on the itemized statements as contributions and deductions.
- All payroll codes used for pay rates and deductions, along with a detailed description or definition of each code.
Employers may comply with these requirements by making the information available to employees in a location easily accessible to them, such as a link to a website, a physical document posted in a central location, a shared electronic file, or delivery by email.
The information must be detailed enough to explain pay rates and deduction codes, but doesn’t have to be written in complete sentences.
Employers must review and update the information by January 1 each year.
The Bureau of Labor and Industries will provide model documents.
View related state info: Deductions from wages - Oregon