For the first time in 15 years, the state’s cigarette tax will increase, rising from $2.70 to $3.00 per pack, this coming Friday, August 1st.

The hike, approved as part of the state’s Fiscal Year 2026 budget, is projected to generate $47 million annually in additional revenue and is intended to both bolster state finances and discourage smoking.

With this increase, the first in the state since 2009, New Jersey will have one of the highest cigarette tax rates in the country.

Also taking affect August 1st, is the freeze on new applications to the Child Care Assistance Program (CCAP).

Earlier this month, the New Jersey Department of Human Services announced that due to budget constraints, it will no longer accept new applications for child care subsidies after July 31.

Families already receiving CCAP benefits will remain eligible, but new children may not be added to existing cases.

In addition, beginning August 1, parent co-payments will increase, with most families expected to pay up to 6% of their income toward child care costs.

While the state has not directly cut CCAP funding, budgetary pressure intensified following the passage of the One Big Beautiful Bill Act, which—while providing federal tax relief and expanded credits—also enacted substantial cuts to safety‑net funding, including Medicaid and SNAP.

The state will continue to take applications for children in the Work First New Jersey (WFNJ) cash assistance program.