Credit: (AP Photo/Seth Wenig)

The application deadline is quickly approaching for the latest round of Anchor property-tax relief benefits offered to New Jersey homeowners and renters under the state-funded program.

Department of Treasury officials say more than 1.6 million residents have already received Anchor benefits worth as much as $1,750, depending on age and residency, since distribution began earlier this fall.

There’s still time for other homeowners and renters who may be eligible to receive the latest round of Anchor benefits. But applications must be submitted before a Dec. 29 deadline established earlier this year by Gov. Phil Murphy’s administration.

In the runup to the deadline, applications can be filed online by phone, by mail, or by visiting one of Treasury’s Division of Taxation field offices for immediate in-person assistance, Treasury officials said.

And while the deadline for submitting an application is nearing, Treasury officials are reminding residents that benefits will continue to be paid out to eligible recipients well into 2024 for those who get their applications filed on time.

“Payments will be distributed until all eligible applicants have received their benefit,” Treasury spokeswoman Danielle Currie said.

Anchor benefits budget

Established last year by Murphy and lawmakers as a successor to the long-standing Homestead Benefit, Anchor is projected to pay out about $2 billion in benefits. The state has set that amount in the current budget.

Under Anchor — whose formal title is Affordable New Jersey Communities for Homeowners and Renters — benefits are paid by check or direct deposit, instead of the direct credit on property-tax bills that became a hallmark of the Homestead Benefit.

The first round of Anchor benefits went to an estimated 1.7 million eligible homeowners and renters starting in spring 2023.

But for the second round of benefits under Anchor, Murphy, a second-term Democrat, reached an agreement in late June with fellow Democrats who currently hold majorities in the Legislature to boost the benefits for senior homeowners and renters by $250.

As a result, homeowners ages 65 and older making up to $150,000 annually are now able to receive benefits totaling $1,750. For homeowners ages 65 and older making more than $150,000 and up to $250,000 annually, benefits now total $1,250. Renters ages 65 and older making up to $150,000 are now eligible to receive $700.

For homeowners under 65, benefits remain $1,500 for those making up to $150,000 annually, and $1,000 for those making more than $150,000 and up to $250,000 annually. Renters under 65 making up to $150,000 annually remain eligible for a $450 benefit.

When Anchor debuted last year, all eligible homeowners and renters had to submit applications for benefits, with 2019 serving as the base year for both residency and income when calculating benefits.

Filing for benefits automatically

This time around, 2020 is the base year, and those who’ve previously applied for and received an Anchor benefit from the state had their application for the second round filed automatically over the summer.

Confirmation letters were distributed in August to those eligible for automatic enrollment, and officials promised most payments would be received by Nov. 1 — just before the Nov. 7 election in which all 120 seats in the Legislature were on the ballot.

Meanwhile, applications were also distributed to another group of eligible homeowners and renters, and it’s this group and all others who may be eligible to receive Anchor benefits who have until the Dec. 29 deadline to apply.

According to Treasury officials, a total of 1.63 million residents have received Anchor payments as of early December. That includes 1.14 million homeowners and 494,012 renters, the officials said.

For those who have yet to apply, benefits will generally be provided on a rolling basis within 90 days of filing their applications.

“The number of applications currently pending is constantly in flux, but the Division (of Taxation) is working diligently to ensure all eligible New Jersey homeowners and renters receive their benefit,” Currie said.

For those who have already applied but have yet to receive a payment and want to check on the status of their applications, Treasury has urged residents to use the Division of Taxation’s online status inquiry tool.

Applicants can also call Treasury’s Anchor hotline at 888-238-1233 to speak with a representative.

The locations and hours of operation for the Division of Taxation’s seven regional information centers is available on the division’s website, and appointments for in-person help with an Anchor application can also be arranged online.

And while there were two rounds of Anchor benefits paid out by Treasury in 2023, administration officials have indicated the program, going forward, will adopt a once-a-year payment schedule, with benefits distributed each fall to eligible recipients.

Budget and finance writer John Reitmeyer shares the latest on what New Jerseyans need to know to get Anchor property-tax relief benefits.