🔹 Seniors earning more than $200,000 will no longer qualify for Stay NJ property tax relief under the new budget proposal.

🏠 Benefits will now be tiered, with the largest tax breaks reserved for lower-income senior homeowners.

💰 State leaders say the changes make Stay NJ more sustainable, while critics warn some seniors will lose promised relief.

Stay NJ survives budget talks, but many seniors will see smaller benefits

After days of closed-door negotiations and just hours before lawmakers were asked to begin voting, New Jersey legislative leaders finally unveiled the details of a $60.7 billion state budget on Sunday.

Among the biggest changes: a significant overhaul of the Stay NJ property tax relief program for seniors.

New income limits for Stay NJ eligibility

According to reporting by NJ.com, the budget preserves Stay NJ but sharply narrows who qualifies for the program.

Gov. Mikie Sherrill originally proposed reducing the income eligibility cap from $500,000 to $250,000. The final budget agreement goes even further, lowering the threshold to approximately $200,000.

That means senior homeowners with incomes above that level will no longer qualify for the benefit.

The move represents one of the most significant changes to a program that was promoted as a major property tax relief initiative for older New Jersey residents.

How much seniors can receive under the revised program

The governor also proposed reducing the maximum benefit from $6,500 to $4,000.

Lawmakers instead adopted a tiered system that provides different benefit levels based on income.

Under the revised structure, seniors earning between $150,000 and $200,000 can receive up to $4,000. Those earning between $100,000 and $150,000 can receive up to $5,000. Seniors earning less than $100,000 remain eligible for the full $6,500 benefit.

Supporters say the changes better target relief toward those who need it most while reducing the overall cost of the program.

Debate over the future of senior property tax relief

Stay NJ has faced questions since it was enacted because of concerns over its long-term affordability. Fiscal analysts warned the program’s cost could grow substantially over time and lacked a dedicated funding source.

Sherrill and legislative leaders argue the new income limits and tiered benefits make the program more sustainable and help protect it from future budget pressures.

Critics, however, contend the new $200,000 income cap is too restrictive and will disqualify many seniors who still struggle with New Jersey’s nation-leading property tax burden.

The changes now appear headed for approval as lawmakers move to pass the budget before the state’s July 1 deadline.

Largest tax bill increases in New Jersey in 2025

These are the municipalities in New Jersey where the average tax bill increased by at least a thousand dollars in 2025, starting with the lowest. The data is from the New Jersey Department of Community Affairs.

Gallery Credit: New Jersey 101.5

Share of your tax bill going to schools vs. municipality

How your property tax bill is split up depends on where you live. This is the data from the state for the year 2025.

Gallery Credit: New Jersey 101.5

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