Historically, Oregon has seen a net influx of residents from California. Factors such as a lower cost of living (compared to many parts of California), natural beauty, and a similar West Coast vibe have attracted Californians to Oregon, with Portland being a primary urban destination.

While exact statistics of migration from California to Portland are tough to get hold of, In 2018, over 55,000 people moved from California to Oregon, while around 38,000 moved from Oregon to California. This indicates a net migration of around 17,000 people from California to Oregon for that year.

This shows that Portland is a magnet for California natives.

Taxes

Tax is one of the most important things to consider when moving state. If you have a high income, you won’t want to jump out of the frying pan and into the fire. So before doing anything, the first thing you must do is calculate if your tax burden will go up or down from moving to Oregon from California, or vice versa.

1. State Income Tax:
   • Oregon: Oregon has a progressive state income tax rate. Tax rates range from 4.75% to 9.9% for the highest earners. Residents of Portland also pay a local income tax called the “Multnomah County Income Tax” and the “Portland Arts Tax” which is $35 per year.
   • California: California also has a progressive state income tax rate, which ranges from 1% for the lowest earners to 13.3% for individuals earning more than $1 million (this is the highest marginal rate in the nation).
2. Sales Tax:
   • Oregon: One of the most notable tax benefits of Oregon is that there is no state sales tax. This means consumers don’t pay any additional tax on most purchased goods.
   • California: California has a base state sales tax rate, and local municipalities can add their own taxes on top of the state rate. The base state rate is 7.25%, but in many cities and counties, the total sales tax can be higher due to local additions.
3. Property Tax:
   • Oregon: Property taxes in Oregon can vary based on location, but the state has mechanisms in place to limit the growth of assessed property values. Portland, being in Multnomah County, has its specific rates and levies. Typically, Portland residents will pay 1.04%.
   • California: Property taxes are primarily governed by Proposition 13, passed in 1978. It sets the base property tax rate at 1% of the purchase price and limits annual increases in assessed value to 2% or the rate of inflation, whichever is lower.
4. Gasoline Tax:
   • Oregon: Oregon charges a state gasoline tax of 38 cents per gallon.
   • California: California also charges a gasoline tax of 51 cents per gallon.
5. Business Taxes:
   • Oregon: Oregon has a corporate income tax which is between 6.6% and 7.6%.
   • California: California has a variety of business taxes, including a corporate income tax of 8.84%. The state’s regulatory environment and tax structure for businesses are often considered more complex than many other states.

Overall Cost Of Living

1. Housing:
   • Portland: Portland has seen significant increases in housing costs over the past decade. While it’s cheaper than cities like San Francisco or Los Angeles, it’s more expensive than many other U.S. cities. Rent for a one-bedroom apartment in the city center can vary, but it’s generally more affordable than in California’s major cities.
     • The average house price in Portland is $528k.
   • California: Housing costs in California vary widely. San Francisco, San Jose, and parts of Los Angeles are among the most expensive places to live in the U.S. However, cities in the Central Valley, like Fresno or Bakersfield, are more affordable.
     • The average house price in San Francisco is $1.2 million.
     • The average house price in Fresno is $365k.
2. Transportation:
   • Portland: Public transportation in Portland is relatively efficient and affordable, with a comprehensive light rail and bus system. Gas prices tend to be higher than the national average but are generally lower than in California.
   • California: Gas prices in California are among the highest in the nation. Public transportation varies by city, with places like San Francisco offering more options than more car-dependent cities like Los Angeles. On the whole, though, California is significantly behind Portland in terms of public transport.
3. Utilities:
   • Portland: Utility costs, including electricity, heating, and water, are generally moderate but can be higher during peak winter months.
   • California: Utility costs can vary. Coastal cities tend to have milder climates, leading to lower heating and cooling costs, while inland cities can have more extreme temperatures. It should be noted that in cities such as San Diego, homes that have invested in Solar power can essentially run for free due to the sunny climate.
4. Miscellaneous Expenses:
   • Portland: Entertainment, clothing, and other miscellaneous expenses can be on par with or slightly cheaper than in California’s major cities.
   • California: Costs can vary widely, with luxury goods and services in cities like San Francisco and Los Angeles being particularly expensive.

In summary, while Portland offers a more affordable cost of living compared to California’s major cities, of course, it’s still more expensive than many other parts of the U.S.

California’s cost of living can vary dramatically depending on the region, with coastal cities generally being more expensive than inland areas.