The earthquake was felt by people in Crookwell, Laggan, Bigga and Taralga, with the epicentre in Taralga, according to Geoscience Australia.

Lisa Croker at Taralga Post Office said she thought a truck had crashed outside.

"It felt like the whole building shook and I thought maybe someone had slammed the door or a truck had crashed into a car outside. I actually went outside to see," she said.

Upper Lachlan Shire Council staff at the Crookwell office also said they felt the earthquake.

The council's media officer Chris Gordon said they weren't sure if it was thunder or a truck going past outside.

"It felt like the building was going over corrugation," he said.

Staff at Crookwell Public School also felt their building shake and heard what sounded like thunder.

Staff member Billie Zouch called family members who said they also felt it near Crookwell High School, Bigga and on Wade Street.

Geoscience Australia duty seismologist Jesse Dimech said it was unlikely that an earthquake of this size would cause any damage to infrastructure despite being felt by people.

The earthquake was felt by eight others who reported it to Geoscience Australia.

Geoscience Australia shows the earthquake was also felt by a station in Dalton and stations as far as Sydney.

This is not the first time an earthquake has struck in Taralga with the Gazette reporting a 1.8 magnitude earthquake had hit the village in November 2018.

Mr Dimech said fault lines were common in hilly regions such as Taralga.

Earthquake activity has also been reported in other parts of the Upper Lachlan Shire since 1883.

Mr Dimech said there was a magnitude 5.6 earthquake in Gunning in 1934 and a magnitude 5.5 earthquake in Dalton in 1949 on Geoscience Australia's records.

On average, the region will experience roughly 1-2 magnitude 2.5 earthquakes a year, with many too small to feel.