TRENTON, N.J. — New Jersey residents pay the highest taxes in the country, according to a new WalletHub study that confirms what many in the state have long suspected. The average taxpayer shells out more than $15,000 a year in property, income, and sales taxes—28% above the national average and $1,300 higher than in New York, the second-most taxed state.
Last year, the average New Jersey property tax bill surpassed $10,000 for the first time in history. Assemblywoman Nancy Munoz (R-Union) took aim at Gov. Phil Murphy, saying, “It’s like he took tax-raising advice from the Beatles song, ‘Taxman.’”
Murphy’s latest budget proposal includes $1.3 billion in new and higher taxes on a wide range of services and goods, including gyms, mini golf, vehicle trade-ins, and even the 9-8-8 suicide prevention hotline. Additional cost increases, such as payroll and gas taxes, toll hikes, and inflation-driven income tax bracket creep, are expected to place even more strain on residents.
The financial pressure has left some middle-class families struggling to keep up. A family of four earning $100,000 now qualifies for Section 8 housing assistance, with expenses rising by $30,000 since Murphy took office. Meanwhile, state spending has surged 68% since 2018, and a projected $3.5 billion budget shortfall looms despite Murphy overseeing $30 billion in tax increases during his tenure.
“New Jersey residents are treated like an ATM for Democrats’ pet projects instead of essential services like fixing potholes,” Munoz said. “While families and businesses are cutting back to make ends meet, the governor is spending even more and raising taxes to pay for it. It’s a kick in the teeth.”
Murphy’s latest $58 billion budget proposal is expected to grow even larger once Democratic lawmakers add last-minute spending provisions, a pattern that has played out in previous years. “This spending is unsustainable, and every year they talk about affordability, but then make the state even more expensive,” Munoz said. “Their actions speak louder than their words.”
