The special plates include a gold star and the words "Gold Star Family." While most specialty plates cost $25, these will be free for verified family members.
New Jersey was one of only a few other states that didn't have Gold Star plates or a bill proposing such plates.
The families of more than 12,000 soldiers will be eligible for the plates.
The Motor Vehicle Commission offers three other military-based specialty plates, including one honoring prisoners of war.
Gov. Chris Christie signed the bill into law at the War Memorial in Trenton Monday.