If you’re a New Jersey resident age 65 or older and receive Stay NJ property tax relief, changes to the program could affect the amount of benefits you receive in 2026.
Stay NJ was created to provide property tax relief to eligible New Jersey seniors and help make it more affordable for them to remain in the state. However, the rules changed under the state budget passed on June 30, 2026.
Here’s what New Jersey seniors should know.
Under the original Stay NJ rules, taxpayers with income of up to $500,000 could potentially qualify for the program.
The new state budget significantly reduces those income limits and introduces a tiered benefit structure.
Under the new rules:
That $200,000 threshold is particularly important. If your income is even $1 over $200,000, you no longer qualify for a Stay NJ benefit under the new rules.
One of the more confusing aspects of the Stay NJ changes is the program’s two-year lag.
For example, 2026 Stay NJ payments are based on 2024 income.
Some taxpayers may have expected to receive four quarterly relief payments based on their 2024 income. However, the final two payments scheduled for August and November 2026 are subject to the new income limits.
This means that some New Jersey seniors could lose those final two payments based on their income—even though the payments are tied to their 2024 income.
The interaction between the two-year income lag and New Jersey’s fiscal-year budget can make the changes particularly difficult to understand.
If you are applying for the 2025 Stay NJ benefit, don’t forget the filing deadline.
Eligible taxpayers must file Form PAS-1 by November 2, 2026.
If you haven’t filed yet, be sure to review the requirements and make sure your application is submitted by the deadline.
If you currently receive Stay NJ benefits, it’s important to understand how the new income thresholds could affect your payments.
Consider reviewing:
Because tax situations vary, seniors who are unsure how the changes apply to them should consider discussing their individual circumstances with a qualified tax professional.
Stay NJ rules have changed, and understanding those changes can help you avoid surprises when it comes to your property tax relief benefits.
For more information about New Jersey tax and tax planning, contact an Alloy Silverstein advisor today.
Associate Partner
Julie has over 20 years of experience in public and private accounting, representing varied clientele including the medical, legal, and real estate industries and trusts.
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