Introduction
Too many New York seniors leave property tax relief on the table because they assume they will not qualify. In our Long Island Homeowner Property Tax Survey, 39% of Long Island homeowners have never filed a grievance, and 43% of them assumed they would not qualify.
A grievance is New York's formal process for challenging your assessed value. That same "I probably don't qualify" instinct is exactly what causes seniors to miss exemptions they are owed.
In 2026, New York raised the income ceiling, letting more seniors qualify for property tax relief.
For homeowners, though, it is a local option your city, town, county, or school district must adopt. Below we cover what changed, who qualifies, how to check if your locality adopted it, and how to claim it.
What Changed in 2026: New York's $75,000 Senior Exemption Income Limit
New York's 2026 state budget did not automatically raise every senior's exemption. It authorized local governments to raise the senior exemption income limit to $75,000, up from $50,000. Your locality may now choose to adopt that higher figure, but it does not apply until it does.
That authorization covers two homeowner programs.
The Senior Citizens Homeowners' Exemption (SCHE) reduces the taxable assessed value of a primary residence for qualifying seniors.
The Disabled Homeowners' Exemption (DHE) does the same for qualifying homeowners with disabilities.
SCHE sits under Real Property Tax Law (RPTL) Section 467, and DHE under RPTL Section 459-c.
The change came through the FY 2027 State Budget, which "authorizes raising the eligibility for the Senior Citizen Homeowners' Exemption and Disabled Homeowner's Exemption from $50,000 to $75,000."
Renters Are Covered Differently
The same budget raised the income limit to $75,000 directly for two renter programs.
The Senior Citizen Rent Increase Exemption (SCRIE) and the Disability Rent Increase Exemption (DRIE) freeze rent for eligible tenants. Those increases apply without local adoption, but they help renters, not homeowners.
Two Separate Levers, Both Local
A separate 2025 law lets localities raise the maximum SCHE break from 50% to 65% of assessed value. Signed on December 6, 2025, it amends Real Property Tax Law Section 467 and applies to taxable years beginning on or after January 1, 2026.
The state estimates that moving from 50% to up to 65% of assessed value could mean up to $300 in additional annual savings for an average senior.
The income ceiling and the exemption percentage both matter here. Both are permissions, and both require local adoption before you see a dollar of relief.
Who Qualifies for the Senior Citizens Homeowners' Exemption (SCHE)?
To qualify for SCHE, at least one owner must meet your locality's age cutoff, the home must be your primary residence, and combined income must be at or below the local limit. Income is measured by Federal Adjusted Gross Income (FAGI), the figure from your federal tax return.
Until a locality adopts the higher figures, the standing income tiers below still apply. Use them to self-assess before you call your assessor.
Requirement | Detail |
|---|---|
Age | At least one owner is 65 or older by the locality's cutoff |
Residence | The property is your primary residence |
Income measure | Federal Adjusted Gross Income (FAGI) |
Full 50% break | Income up to a locally set limit between $3,000 and $50,000 |
20% partial break | Income below $55,700 |
10% partial break | Income below $57,500 |
5% partial break | Income below $58,400 |
A few rules shape how the benefit applies:
Choose the greater benefit: SCHE and the Disabled Homeowners' Exemption under RPTL 459-c cannot both apply for the same tax; take the larger one.
Which taxes it cuts: SCHE reduces county and town taxes, plus school taxes where the school district has adopted it.
Income defines eligibility: the locality sets the max income limit anywhere between $3,000 and $50,000, as detailed in senior citizens exemption Form RP-467.
You can also carry the senior benefit alongside school-tax relief. See our guide to the Nassau County STAR program for seniors for how the two fit together.
Unsure Which Exemptions You Qualify For?
"Local Option" Explained: Did Your City, Town, or County Adopt the Higher Limit?
Key point: The $75,000 income ceiling and the 65% maximum are permissions granted to localities, not statewide increases. You benefit only where your jurisdiction has adopted the higher figure.
Each taxing jurisdiction decides separately. A county, city, town, village, or school district must pass a local law, ordinance, or resolution after a public hearing before the higher limit takes effect. Because a single home can sit under several of these jurisdictions, your county might adopt the higher limit while your school district has not.
How to Check Whether Your Locality Adopted It
Follow these steps to confirm what applies where you live:
Call your local assessor's office or check its website for the current taxable year.
Ask specifically about the RPTL 467 senior exemption income limit and exemption percentage.
Check your school district separately, since it decides on its own.
Watch for local public-hearing notices, where these changes are debated and adopted.
Adoption is happening piecemeal, and no authoritative statewide list of adopting jurisdictions exists yet.
For example, the Village of Croton-on-Hudson in Westchester drafted a local law to raise its senior income limit from $50,000 to $75,000 and held a public hearing in September 2026. As of this writing, that measure is under consideration, not adopted, which is exactly why you should confirm your own locality's status directly.
For an authoritative overview of eligibility and income rules, see New York's senior citizens exemption from the State Tax Department.
How the Higher Limit and 65% Exemption Save You Money
SCHE reduces your taxable assessed value by the exemption percentage, and your tax rate applies to what remains. New York calculates the tax with a simple formula: Assessed Value / 1,000 x Tax Rate.
The table below shows an illustrative Long Island home to compare a 50% and a 65% exemption. It uses an assessed value of $500,000 and an illustrative rate of $4.00 per $1,000; check the real Nassau County property tax rate for your area.
Scenario | Taxable Assessed Value | Rate (per $1,000) | Annual Tax | Annual Savings |
|---|---|---|---|---|
No exemption | $500,000 | $4.00 | $2,000 | — |
50% SCHE | $250,000 | $4.00 | $1,000 | $1,000 |
65% SCHE | $175,000 | $4.00 | $700 | $1,300 |
In this example, moving from a 50% to a 65% exemption adds $300 in yearly savings. That tracks the state's estimate of up to $300 in additional savings for an average senior.
Your actual numbers depend on your assessed value, your local tax rate, and whether your school district participates. The point holds regardless: a bigger exemption on a lower taxable value means a smaller bill.
SCHE, STAR, and a Grievance: How They Stack
You do not have to pick one form of relief. SCHE stacks with the School Tax Relief (STAR) program and with a grievance, and together they attack your bill from three angles.
STAR cuts your school taxes, while SCHE cuts your county and town taxes, plus school taxes where the district adopts it. Enhanced STAR is available to seniors below an annually adjusted income cap; confirm the current figure and enroll through our guide to the New York STAR program.
A grievance is a separate tool. Exemptions lower your taxable value by category, while a New York property tax grievance challenges the assessed value itself. You can pursue both in the same year.
Nassau County Deadlines to Watch
Nassau administers SCHE, DHE, and Veterans exemptions, which are key to the January 2 taxable status date. The grievance window is separate: it opens January 2, with a statutory deadline of March 1 that moved to March 2 in 2026 because March 1 fell on a weekend.
You file grievances with the Assessment Review Commission (ARC). For the full county walkthrough, see our Nassau County senior and homestead exemptions guide.
Investors and owners of multiple or commercial properties can challenge their assessments too, not just primary-residence owners.
What to Do If You Newly Qualify
If a higher local limit now puts you within reach, move through these steps in order:
Confirm your locality adopted the higher income limit, using the checklist above.
Gather your documents: proof of age, proof of primary residence, and your most recent federal return for FAGI.
File Form RP-467 (or RP-467-Rnw to renew) with your local assessor. In Nassau, file county-administered exemptions with the Department of Assessment by the January 2 taxable status date.
Renew as required, which is annual unless your locality waived renewal after five consecutive years.
Do not stop at the exemption; check whether your assessed value is also too high.
New York allows retroactive exemption relief in limited cases, so ask your assessor whether you can still correct a missed year. You can hand the whole filing to us through our property tax exemption filing service.
How Ownwell Can Help
Don't miss your local filing deadline. Check today.
Want to Try What Made Ownwell Famous?
Ownwell identifies every exemption you qualify for, files the paperwork, and monitors your status year over year. No upfront cost, and you only pay if you save.
The results back it up. Our Nassau County customers save an average of $1,462 per year by combining grievances and exemptions, with a 93% Nassau grievance success rate. In New York, we can also apply retroactively for exemptions missed in prior years.
Our New York pricing is straightforward: a 25% contingency fee on grievance savings, with exemptions filed on a contingency or refund basis. See Ownwell's contingency pricing for the full breakdown before you commit.
Frequently Asked Questions
Did New York raise the senior citizen exemption income limit to $75,000 in 2026?
Yes, but with a catch for homeowners: the state authorized localities to raise the SCHE and DHE limit to $75,000 and raised SCRIE and DRIE directly for renters, so homeowners need local adoption.
Does the $75,000 limit apply automatically where I live?
No. Your county, city, town, village, or school district must adopt it, so check with your local assessor for the current taxable year.
What is the difference between the 50%-to-65% change and the $75,000 change?
One raises the maximum exemption percentage, and the other raises the income ceiling; they are two separate local options, so a locality could adopt one, both, or neither.
What income counts toward the senior exemption?
Eligibility is based on Federal Adjusted Gross Income for the applicable year, with limited adjustments defined in the RPTL 467 rules.
Can I get the senior exemption and STAR at the same time?
Yes. SCHE stacks with STAR, and you can also file a grievance to lower your assessed value in the same year.
