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New Jersey Rings In 2026 With Wage Hikes And Toll Increases

Residents brace for higher minimum wages, increased commuting costs, and a flurry of legislative action during New Jersey’s pivotal lame duck session.

6 min read

Starting January 1, 2026, New Jersey residents will wake up to a host of new laws and policy changes that promise to reshape daily life across the Garden State. From higher minimum wages and increased tolls to expanded veterans’ services and a final legislative push during the so-called "lame duck" session, the coming weeks are set to bring both financial adjustments and political drama. For communities like Parsippany, these changes are more than just headlines—they’re paychecks, commutes, and the future of local neighborhoods all rolled into one.

The most immediate change for many New Jerseyans is the statewide minimum wage hike. According to Parsippany Focus, the New Jersey Department of Labor has announced that, effective January 1, 2026, employees at companies with six or more workers will see their hourly wage rise to $15.92—a 43-cent increase. Seasonal and small business employees (at companies with fewer than six workers) will now earn $15.23, up by 70 cents. Agricultural workers, too, will benefit, with their minimum wage jumping from $13.40 to $14.20 per hour. Long-term care direct care staff aren’t left out either; their pay will climb to $18.92, also up by 43 cents. And for tipped workers, the base cash wage increases from $5.62 to $6.05, though employers are still required to ensure that tips bring total compensation up to the full minimum wage.

Labor Commissioner Robert Asaro-Angelo summed up the state’s intention behind the move, saying the adjustments "bring New Jersey closer to a livable wage for working families." The changes are designed to keep pace with inflation and the rising cost of living, a concern that’s been top of mind for many as prices for essentials continue to climb.

But the new year isn’t just bringing bigger paychecks—it’s also ushering in higher costs for anyone who drives New Jersey’s vast network of highways and bridges. Commuters in Morris County and beyond are bracing for toll hikes on some of the state’s most crucial arteries. As detailed by Parsippany Focus, the New Jersey Turnpike and Garden State Parkway will see a 3% toll increase starting January 1. Those crossing into Pennsylvania via the Delaware River Joint Toll Bridge Commission will soon pay $2 with E-ZPass or $5 without, though the exact date is pending a final notice expected in mid-December. And for drivers heading into New York City, a 25-cent increase on Port Authority crossings—including the George Washington Bridge and the Lincoln and Holland Tunnels—is likely, with a formal vote set for December 18, 2025.

For Parsippany residents, whose daily commutes often involve Routes 80, 287, and 46, these toll increases could add up quickly. It’s not just a matter of nickels and dimes; for many, it’s a monthly budget line that just got a little tighter.

While wallets may feel the squeeze, New Jersey is also rolling out expanded support for its veterans in 2026. The state is broadening access to job placement services, housing resources, and mental health support for former service members. The details are expected in the early part of the year, but local offices like Morris County’s Office of Veterans Services are gearing up to help residents navigate the new offerings. It’s a move that underscores the state’s commitment to those who have served, aiming to make sure no veteran is left behind as policies evolve.

Layered atop these practical changes is the political theater of New Jersey’s "lame duck" legislative session. As explained by WHYY News, this period runs from the November 4, 2025, general election until the formal end of the legislative session on January 13, 2026. The term "lame duck" hails from 18th-century Britain, where it described bankrupt stockbrokers and poorly built ships—apt metaphors for politicians on their way out the door.

During this window, the legislature and Governor Phil Murphy—whose own term ends in January—are hustling to finalize bills that didn’t make it across the finish line earlier in the year. "Both the legislature and the governor are looking to get business done, whatever has not gotten done up until this point is fair game, sometimes things didn’t get done because they were too controversial, this is a good time," said Micah Rasmussen, director of the Rebovich Institute for New Jersey Politics at Rider University, according to WHYY News.

Governor Murphy has signaled his priorities for the session, pushing for a "clean energy" bill, a bell-to-bell cell phone ban in schools, reforms to farmland tax breaks, and an expansion of affordable housing. But not everyone is on board with the pace or the process. Republican lawmakers, including state Senator Tony Bucco, have voiced concern about what they see as a lack of transparency and the risk of rushed, ill-considered legislation. "Very misguided legislation that doesn’t get the transparency it deserves" has passed during previous lame duck sessions, Bucco told WHYY News. He specifically criticized the affordable housing push, warning that "affordable housing legislation that will take away home rule and allow developers to bypass local regulations on density and housing is another misguided principle." Bucco argued, "We need to make sure that those types of bills are not rushed through without the proper vetting."

Bucco also highlighted the state health benefits crisis, pointing out that "the state health benefits plan is in a death spiral, we need reforms to keep this solvent." He noted that municipalities are pulling out due to premium increases, which only worsens the problem.

On the other side, Ben Dworkin, director of the Rowan University Institute for Public Policy and Citizenship, told WHYY News that Democrats may take advantage of their majorities in both the Senate and Assembly to pass controversial bills and send them to Murphy before Governor-elect Mikie Sherrill is sworn in. "He’ll take the hit because he’s leaving, and then she won’t have to worry about it as she moves forward and gets inaugurated in January," Dworkin explained. He described the New Jersey legislature as a "majoritarian institution," where the party in power can generally pass what it wants, provided the governor is also aligned.

Despite these weighty debates, few expect large-scale protests or public outcry. As Rasmussen observed, "We’re all busy with the holidays, we have a lot going on, we’re not necessarily paying attention to the legislature as a front-burner item." The hustle and bustle of the season, it seems, provides a convenient cover for lawmakers to push through last-minute measures with minimal public scrutiny.

As the new year approaches, New Jersey stands at a crossroads—balancing the immediate needs of workers, commuters, and veterans with the high-stakes maneuvering of its political leaders. Whether these changes will deliver on their promises or create new headaches remains to be seen. But for now, one thing is certain: 2026 will be a year of transition, and everyone from Parsippany to the Jersey Shore will be feeling the effects.

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