Big H-1B Changes Are Coming - Here's What You Need to Know

Hey there!

Some big changes might be on the horizon for the H‑1B visa - and if you’re on OPT or STEM OPT, this directly affects you.

Last week, the White House officially approved a new wage-based H‑1B selection system - meaning that starting next year, your H‑1B chances may no longer come down to luck on the lottery, but to how much your employer is offering you.

Let’s break it down 👇

Is the H‑1B Lottery Definitely Being Replaced?

Not yet - but it’s getting close.

As of August 2025, the White House has approved the wage-based selection rule, and it’s cleared for publication in the Federal Register. Once published, a 30 - 60 day public comment period will begin.

After that, the rule could still face legal challenges, political delays, or changes before it becomes official.

Most experts expect it to apply to the FY 2027 H‑1B cap season (March 2026 registration), but it’s not finalized until USCIS formally implements it and it survives any court challenges.

From Random Lottery → Wage-Based Selection

The U.S. is moving away from the traditional H‑1B lottery. Instead, H‑1B applications will be ranked by wage level, with priority given to higher-paying jobs based on Department of Labor tiers (Level IV → Level I).

Here’s where things stand:

• Approved by the White House on August 14, 2025

• Public comment period will open once the rule is published in the Federal Register

• Expected launch: FY 2027 cap season (March 2026 registration)

What Are Wage Levels?

H‑1B wages are broken into 4 levels:

• Level I: Entry-level (17th percentile)

• Level II: Some experience (34th percentile)

• Level III: Mid-level/experienced (50th percentile)

• Level IV: Senior/specialist (67th percentile)

Your wage level depends on:

• Your role

• Location

• Experience

• How your salary compares to others in that region

💡 You can look up wage levels by job and location on the DOL Wage Data site.

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What This Means for You

So, how does this actually affect your chances? If your job offer comes with a strong salary (especially one that ranks higher relative to local wage data) your chances of H‑1B selection will go up under the new system. That’s great news for experienced professionals or those in high-demand roles that already pay well.

But if you’re a recent graduate earning an entry-level salary, especially one that falls into Wage Level I or II, this new system could make it much harder to get selected. Unlike the old lottery where everyone had a relatively even shot, your chances now depend directly on how much you’re being paid.

If you’re in STEM fields like AI, cybersecurity, or data science, you might still be in a good spot - some of these roles offer strong starting salaries, which could boost your ranking even if you're early in your career. But for graduates in business, education, or general management, where entry-level wages tend to be lower, it might be time to rethink your strategy.

How You Can Start Preparing

Now is the time to have a real conversation with your employer about your wage level and how it compares to the Department of Labor’s data for your job title and location. If your current offer places you in a lower wage tier, consider what steps you can take to improve your standing - this could mean negotiating for a higher offer, taking on more responsibility, or upskilling by gaining certifications that justify a raise.

It’s also worth thinking about your long-term fit: Is this role likely to qualify under the new H‑1B system? If not, it might be smart to explore alternative visa pathways, such as the O‑1 visa (for individuals with extraordinary ability) or cap-exempt H‑1Bs through research institutions and nonprofits.

The new system isn’t just about pay - it’s about how your offer stacks up locally. In some cases, even a seemingly modest salary could qualify as high for a lower-cost city, so don’t overlook the impact of geography either.

We’ll keep you updated as soon as the public comment period opens and as we get more clarity on implementation this fall.

📌 This update is especially important if your OPT/STEM OPT ends in 2026 and you’re planning to apply for the cap season that year.

Best,
The Roam Growth Team 🧡