Starting August 10, 2026, the New Jersey Division of Taxation began mailing ANCHOR Benefit Confirmation Letters to qualifying taxpayers, notifying more than 1 million homeowners and renters—including 537,000 homeowners and 549,000 renters—that they will receive property tax relief benefits automatically this season. The state will begin distributing payments on September 15, 2026, with eligible residents receiving up to $1,750 in property tax relief based on their 2025 income and age.
Under a streamlined application process introduced three years ago, the state automatically files applications for most homeowners and renters under age 65 who previously received an ANCHOR benefit. If you received a confirmation letter and your information hasn’t changed, you don’t need to do anything—your payment will arrive automatically this fall. Seniors and those receiving disability benefits must manually submit the new combined PAS-1 application, which bundles ANCHOR with two other major relief programs.
The ANCHOR program—Affordable New Jersey Communities for Homeowners and Renters—has become one of New Jersey’s largest property tax relief initiatives since its launch in 2022, delivering billions of dollars to residents struggling with some of the nation’s highest property tax bills.
Who qualifies
Eligibility requirements and benefit amounts
Your 2025 income, residency, and age determine how much you’ll receive.
Eligibility and payment amounts for the 2026 cycle are based on your 2025 residency, income and age. You must have been a New Jersey resident who owned or rented your main home since October 1, 2025, and paid property taxes or rented a property subject to them. The program covers both homeowners and renters, with different income caps for each group.
For homeowners, their 2025 gross income must be $250,000 or less, while renters’ gross income can’t be more than $150,000. Income is calculated using line 29 of your 2025 New Jersey income tax return (Form NJ-1040). If you weren’t required to file a state tax return, the Division of Taxation provides income calculation worksheets to help you determine eligibility.
2026 ANCHOR benefit amounts
Homeowners with 2025 income of $150,000 or less: $1,500 base benefit, plus $250 if age 65 or older (total: $1,750)
Homeowners with 2025 income of $150,001–$250,000: $1,000 base benefit, plus $250 if age 65 or older (total: $1,250)
Renters with 2025 income of $150,000 or less: $450 base benefit, plus $250 if age 65 or older (total: $700)
These amounts are based on the official calculation tables published by the NJ Division of Taxation. Benefits are paid as direct cash payments—either by check or direct deposit—not as credits on your tax bill.
How it works
Automatic enrollment vs. manual applications
Most residents under 65 don’t need to apply—but seniors face different rules.
Most eligible New Jersey homeowners under 65 and not collecting Social Security Disability or Railroad Retirement Disability benefits, and most eligible renters of all ages, will have their ANCHOR applications filed automatically on their behalf by the Division. If you fall into this category and received ANCHOR last year, you should have received a confirmation letter by mid-August 2026.
The confirmation letter shows your name, address, and how you’ll receive payment (direct deposit or check, matching last year’s method). If you receive a letter and need to change your banking information or prefer to request a paper check, you must file an application on your own with updated information before September 15, 2026. If you do not receive an ANCHOR Benefit Confirmation Letter, you have the opportunity to file an Application for Property Tax Relief on your own.
Seniors and those receiving disability benefits must manually submit the new combined PAS-1 application. This form acts as a “one-stop shop” for New Jersey’s major property tax relief programs, allowing you to apply for ANCHOR, the “Senior Freeze,” and the Stay NJ program all at once. The PAS-1 can be filed online at the NJ Division of Taxation’s property tax relief page or by mail, with all manual applications due by the November 2 deadline.
Key dates for 2026
August 10, 2026: Division of Taxation began mailing confirmation letters
September 15, 2026: First ANCHOR payments begin; deadline to update banking info for auto-enrolled residents
November 2, 2026: Final deadline to file new applications (including PAS-1 for seniors)
Within 90 days of filing: Most applicants receive their payment
For example, if you apply by the November 2 deadline, your ANCHOR rebate may not reach you until January 31, 2027 (though state holidays may delay the payment).
Context
Why New Jersey launched ANCHOR
The program replaced an older system and dramatically expanded who qualifies for relief.
New Jersey homeowners face some of the highest property tax bills in the United States, with the average homeowner paying more than $9,000 annually. The ANCHOR program launched in 2022 to replace the previous Homestead Benefit program, expanding both the number of eligible residents and the size of benefits. The program now covers renters for the first time and significantly increased income limits, making relief available to middle-class families who previously earned too much to qualify.
Since its inception, ANCHOR has distributed billions of dollars in direct relief. The program is funded through the state budget and does not require residents to pay into it separately. Governor Phil Murphy has championed the initiative as a cornerstone of his administration’s affordability agenda, alongside other programs like Senior Freeze and the new Stay NJ initiative for retirees.
The automatic enrollment system, now in its third year, has dramatically simplified the process for returning recipients. Instead of requiring millions of residents to re-apply annually, the Division of Taxation pre-fills applications using data from prior years and state tax records. This reduces paperwork, speeds up payments, and ensures fewer eligible residents miss out due to administrative hurdles.
For residents in high-tax communities like Scotch Plains and Fanwood—where property taxes often exceed $15,000 per year—ANCHOR benefits provide meaningful, if partial, relief. A homeowner in these townships earning under $150,000 could receive $1,500 (or $1,750 if 65+), offsetting roughly 10% of their annual tax bill. Renters, who indirectly pay property taxes through their rent, receive smaller but still significant benefits.
What to do now
Steps to take before the deadlines
Check your mail, verify your information, and apply if you didn’t receive a letter.
If you received a confirmation letter: Read it carefully. Confirm that your name, address, and banking information (if you chose direct deposit) are correct. If everything matches, you’re done—just wait for your payment starting September 15. If anything has changed, you must file a new application online at anchor.nj.gov by September 15, 2026.
If you didn’t receive a letter but think you qualify: You can still apply. Residents under 65 who aren’t on disability can file online using the state’s ID.me identity verification system, or download and mail a paper application. The deadline is November 2, 2026. Check your eligibility and apply at the official NJ Division of Taxation property tax relief page.
If you’re 65 or older, or receive Social Security/Railroad Retirement disability: You must file the PAS-1 form, even if you received ANCHOR in the past. This combined application covers ANCHOR, Senior Freeze, and Stay NJ. You can file online or by mail, but the deadline is firm: November 2, 2026. The state has set up regional information centers and PAS-1 filing events where representatives can help you complete the form in person.
To check the status of your payment or for general New Jersey property tax relief questions, call 1-888-238-1233. The state’s Division of Taxation has an automatic callback feature, allowing you to be placed in a queue rather than wait on hold. You can also check your benefit status online using your Social Security number and ZIP code at the Division of Taxation website.
For first-time homebuyers in New Jersey, ANCHOR is just one piece of the affordability puzzle. The state also offers down payment assistance programs, first-time buyer incentives, and resources for buyers with less-than-perfect credit. If you’re shopping for a home in the Garden State, explore all available programs on our New Jersey home buying guide.
Quick answers
ANCHOR property tax relief: common questions
Do I have to apply for ANCHOR every year?
Not if you’re under 65 and not on disability. The state automatically files applications for most returning recipients. You’ll receive a confirmation letter in August; if your information is correct, you don’t need to do anything. Seniors and disability recipients must file the PAS-1 form annually by November 2.
When will I receive my ANCHOR payment?
Payments begin September 15, 2026, and are distributed on a rolling basis. Most recipients get their payment within 90 days of their application being filed. If you’re auto-enrolled, expect payment in September or October. If you file manually by the November 2 deadline, you may not receive payment until late January 2027.
Can renters get ANCHOR benefits?
Yes. Renters with 2025 income of $150,000 or less who lived in New Jersey since October 1, 2025, qualify for $450 (or $700 if age 65+). You must have rented a property subject to property taxes—most residential rentals qualify, but properties under PILOT (Payment in Lieu of Taxes) agreements do not.
What if I moved or changed bank accounts since last year?
If you received a confirmation letter but your address or banking information has changed, you must file a new application with updated information by September 15, 2026. You can do this online at anchor.nj.gov. If you miss that deadline, you can still apply by November 2, but your payment may be delayed.
What is the PAS-1 form and who needs it?
The PAS-1 is a combined application for three property tax relief programs: ANCHOR, Senior Freeze, and Stay NJ. All homeowners age 65 or older, and anyone receiving Social Security or Railroad Retirement disability benefits, must use this form instead of the regular ANCHOR application. It’s due November 2, 2026, and can be filed online or by mail.
I didn’t get a confirmation letter. Can I still apply?
Yes. If you believe you’re eligible but didn’t receive a letter, you can file an application on your own by November 2, 2026. Visit the NJ Division of Taxation website to apply online (you’ll need to verify your identity through ID.me) or download a paper application. The state may not have your information if you’re a first-time applicant or recently moved to New Jersey.