NJ’s ANCHOR Relief Sends $1,750 Payments Early

ByEthan Pineridge

New Jersey has accelerated the distribution of its largest-ever property tax relief program, with most eligible residents already receiving payments of up to $1,750 through the Affordable New Jersey Communities for Homeowners and Renters (ANCHOR) initiative. The direct deposits hit bank accounts on October 10, earlier than originally scheduled, providing welcome financial assistance to millions of homeowners and renters across the Garden State.

“I’m proud to deliver this important tax relief directly to New Jersey families, putting money back in the pockets of both homeowners and renters,” Governor Phil Murphy said in a statement reported by NJ Spotlight News. The accelerated timeline means many recipients received their benefits ahead of expectations, a move designed to provide more timely relief amid ongoing concerns about New Jersey’s notoriously high property taxes.

Photo Source: DepositPhotos

Program’s Historic Expansion

Now in its third year, the ANCHOR program represents a significant expansion of the state’s previous Homestead Benefit. Last year’s distribution set records as New Jersey’s largest-ever property tax relief initiative, with over $2.1 billion in benefits provided to more than 1.8 million homeowners and renters across the state, according to the New Jersey Department of Treasury.

The current round of benefits applies to the 2021 tax year and offers tiered assistance based on income and residency status. Eligible homeowners who earned up to $250,000 in 2021 can receive up to $1,500, while renters who earned up to $150,000 qualify for $450 payments. Senior citizens receive an additional $250 bonus, potentially bringing their total benefit to $1,750.

This year’s program has already received approximately 225,000 new applications, with the Division of Taxation projecting continued growth as the November 30 deadline approaches. New applicants can expect to receive their benefit within 90 days of applying, though processing times may vary based on volume.

Automatic Renewal for Most Recipients

A key feature of this year’s program is the automatic renewal process for previous recipients. Approximately 1.5 million New Jersey residents who received ANCHOR payments last year have been automatically re-enrolled, eliminating the need for them to submit new applications if their circumstances haven’t changed.

“If nothing has changed, you don’t even have to take any steps, your application will be automatically filed and your ANCHOR rebate will be issued,” explained Jacob Foy, assistant director of the New Jersey Division of Taxation, in comments to WHYY. “When we can verify that somebody has been already in our system as eligible, and already appears to be at the same property, we began auto-filing on residents’ behalf.”

However, residents whose personal information has changed—including banking details or residential address—must submit updated information through the ANCHOR website by the November 30 deadline. Those who haven’t previously participated in the program must also file a new application to receive benefits.

Photo Source: DepositPhotos

Addressing New Jersey’s Property Tax Burden

The ANCHOR program represents the state’s most significant effort to address its persistently high property tax burden, which consistently ranks among the highest in the nation. According to recent data from the Tax Foundation, New Jersey homeowners paid an average of $9,765 in property taxes in 2023, more than double the national average.

State officials have positioned the program as a critical component of broader efforts to make New Jersey more affordable. The initiative particularly targets middle-class homeowners and renters who have felt squeezed by the state’s high cost of living and tax structure.

“This program offers meaningful relief to New Jerseyans who’ve been shouldering some of the heaviest property tax burdens in the country,” said a state Treasury Department spokesperson. “By reaching both homeowners and renters, ANCHOR ensures that relief extends to all residents, regardless of whether they own or rent their homes.”

Checking Your Status

Recipients can verify the status of their benefit through an online tracking tool that updates twice weekly. The verification portal, available on the New Jersey Division of Taxation website, allows applicants to track their application and payment status by entering their identification information.

For those who haven’t yet applied, the state has established multiple application channels, including online submission, phone assistance, and in-person help at regional information centers. The Division of Taxation has also expanded its customer service operations to manage the anticipated increase in inquiries as the November deadline approaches.

State officials continue to encourage eligible residents who haven’t yet applied to submit their applications, emphasizing that the program’s benefits are not automatic for first-time applicants. With the deadline still several weeks away, the Division of Taxation anticipates a significant increase in applications as awareness of the program continues to grow.

“The success of this program depends on eligible residents taking that first step to apply,” noted Foy. “We’ve worked to make the process as simple as possible, but we can only provide benefits to those who complete an application.”

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