ANCHOR Program Renewed for Tax Year 2025

It provides property tax relief to NJ residents who owned or rented their principal residence On October 1, 2025, and meet income requirements.

Who:

Homeowners: New Jersey residents with a 2025 New Jersey gross income of $250,000 or less who, as of October 1, 2025, owned and occupied a home in New Jersey as their principal residence and the home was subject to property taxes.

Renters: New Jersey residents with a 2025 New Jersey gross income of $150,000 or less who, as of October 1, 2025:

• Rented and occupied a residence in New Jersey as their principal residence, AND
• Paid rent, AND
• Had their name on the lease or rental agreement, AND
• The property was subject to local property taxes

What:

ANCHOR provides property tax relief to eligible New Jersey homeowners and renters. Benefits are determined by your 2025 New Jersey Gross Income and age category:

• Homeowners under age 65 with 2025 incomes up to $150,000 will receive $1,500, and those with incomes over $150,000 up to $250,000 will receive $1,000. Applicants who were age 65 or older by December 31, 2025, receive an additional $250 on top of those amounts.
• Renters under age 65 with 2025 incomes up to $150,000 will receive $450. Applicants who were age 65 or older by December 31, 2025, receive an additional $250 on top of those amounts.

How:

1. Returning Beneficiaries: The State will automatically file applications for most eligible homeowners under age 65 who are not collecting Social Security Disability or Railroad Retirement Disability benefits, as well as eligible renters. ANCHOR Benefit Confirmation Letters began being mailed in August 2026. If all the information in your letter is correct, no action is required. The State will automatically file your application. If you received last year's benefit by direct deposit, the same banking information will be used.
2. Updated Information or Changes: Review your confirmation letter carefully.
   • If you need to change your banking information or request a paper check, you must file your own application. Click on "File Property Tax Relief Application"
   • If your status changed from renter to homeowner and you received an Auto-File Confirmation Letter, follow these steps:
     1. Notify the Division of Taxation by selecting "I received an ANCHOR Benefit Confirmation Letter and DO NOT want an application filed on my behalf."
     2. File a new application for the new property.

Your eligibility is based on where you lived and whether you were a homeowner or renter on October 1, 2025, not where you live today. For example, if you were a renter on October 1, 2025, and purchased a home afterward, you still apply as a renter for the 2025 benefit.

3. New Applicants: If you qualify but are not being automatically filed by the State, you can submit an ANCHOR application online or by paper. Online applicants will need to verify their identity through ID.me. See below for more information. If you apply by paper, we recommend mailing your application with a tracking number so you can confirm that it was received. Keep the tracking number until you receive your benefit. The deadline to file is November 2, 2026.
4. Senior & Disabled Applicants: Residents age 65 or older and residents collecting Social Security Disability or Railroad Retirement Disability benefits must complete the combined Application for Property Tax Relief (Form PAS-1). PAS-1 covers ANCHOR, Senior Freeze, and Stay NJ, even if you do not qualify for all three programs. The State will not automatically file on your behalf. The deadline to file is November 2, 2026.

Important: When applying for ANCHOR, apply under the same name/person who is listed first on your NJ income tax return. For married couples who file jointly, this means the first-listed spouse should be the one to submit the ANCHOR application.

Further Details and Guidance:

• Identity Verification (ID.me): All applicants using the online system must verify their identity through ID.me. The verification process can be completed on a smartphone or computer. If you do not have a device to complete the ID.me process, the Lakewood Resource and Referral Center (LRRC) has tablets available for use during open walk-in hours. To complete the verification, you will need proof of identification, such as a valid driver's license or passport. We also recommend bringing your Social Security card, as it may be required.
• Information Needed to Apply: When you apply, you will need Social Security Numbers (or ITINs) and dates of birth for you and your spouse, your 2025 New Jersey gross income (Line 29 of your 2025 NJ-1040 tax return), and your 2025 filing status.
• Payment Timing: ANCHOR payments start September 15 and will continue, on a rolling basis, with most applicants receiving payment within 90 days, unless additional information is required.
• Principal Residence: ANCHOR eligibility is based on your principal residence on October 1, 2025. Your principal residence is the home where you live most of the time and where you are registered to vote or receive mail. For homeowners, it is the property listed on your deed or tax records. For renters, it is the address on your lease or rental agreement.
• Eligible vs. Ineligible Properties: Only your primary residence in New Jersey is eligible for ANCHOR. You cannot receive benefits for a vacation home, secondary residence, or property you own but rent out to others. If you owned multiple properties in New Jersey, you could only claim relief for the one property that was your principal residence on October 1, 2025.
• Benefit Cap: You cannot receive duplicate property tax relief for the same year. The total of all property tax relief benefits you receive for 2025 cannot exceed the amount of property taxes you actually paid for your primary home in 2025. This means that your combined savings from programs such as ANCHOR, Senior Freeze, veterans' deductions, etc., won't be more than your 2025 property tax bill.
• Important Dates: November 2, 2026, is the final application deadline.
• More Information: For more details, forms, and answers to frequently asked questions about the ANCHOR program, visit the NJ Division of Taxation's ANCHOR website and FAQ page.