Cost-of-living adjustments were suspended in 2011 and won't return for many years, even with full contributions. But restoring them now costs $3.6 billion.
Gov. Phil Murphy proposes property tax rebates starting at $700 and growing to $1,150, including homes with incomes of up to $250,000. Renters get help, too.
An annual report from the think tank Truth in Accounting finds New Jersey's long-term debt, pension and health-benefits bills amount to $58,300 per taxpayer.
The gas tax is adjusted each year, depending on recent collections and a forecast for the year ahead. Last year's 9.3-cent hike is being mostly reversed.
The state government is awash in cash and now anticipates a $10 billion surplus at the end of the month. It no longer will tap its rainy day fund for 2022.