Oyster Bay is located at 40°51'55" North, 73°31'56" West (40.865278, -73.532500).
According to the United States Census Bureau, the town has a total area of 1.61 mi2 (4.16 km2). 1.23 mi2 (3.18 km2) of it is land and 0.38 mi2 (0.98 km2) of it is covered by water. The total area is 23.49% water.
Oyster Bay is located in the Eastern Standard Time (EST) timezone, GMT-05:00. It observes Daylight Saving Time (DST).