H-1B Updates: $100K Fee Clarified + Wage-Based Lottery Proposal

What Graduates Need to Know About The Latest Updates

Hey there!

Last week, we shared news about the new $100,000 H-1B petition fee. Some of the initial reporting created confusion, especially for students on F-1, OPT, and STEM OPT. Since then, USCIS, CBP, and the White House have clarified the rule - here’s what you need to know now.

The $100K H-1B Fee: What It Really Means

The fee, effective September 21, 2025, applies only to new H-1B petitions for beneficiaries outside the U.S. at the time of filing.

  • If you are in the U.S. on F-1, OPT, or STEM OPT and your employer files an in-country change of status petition, the fee does not apply.

  • If you are abroad during filing and require consular processing, the fee does apply.

  • Renewals, amendments, transfers, or extensions for current H-1B holders are exempt.

This is a one-time, employer-paid fee, not an annual cost.

What This Means for F-1, OPT & STEM OPT Students

For students still on F-1, this change does not affect your current status. When you graduate and transition to OPT or STEM OPT, your petition remains unaffected as long as you are inside the U.S. when the H-1B petition is filed and processed. If you travel abroad during that window, however, the consular process would trigger the $100K fee.

Cap-gap protections remain the same: if your employer files while you’re on STEM OPT, your status is automatically extended until October 1 as long as the petition is pending or approved.

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If You’re Already on H-1B

For current H-1B holders, there is no impact. Petitions approved before September 21, 2025 are safe. You can continue to extend, amend, or transfer your H-1B without paying the fee, and you can travel and re-enter the U.S. as usual. The fee is targeted at new petitions for workers outside the country, not existing H-1Bs.

Wage-Based Lottery Proposal (Still Pending)

In addition to the $100K fee, USCIS is moving toward replacing the random H-1B lottery with a wage-weighted selection system - potentially starting with the FY 2027 cap season (March 2026 lottery).

  • Higher salaries = more lottery entries.

  • Level I (entry-level) → 1 ticket; Level IV (highest wage) → 4 tickets.

  • Only base salary counts (not stock or equity).

  • Applies only to new lottery petitions, not extensions or transfers.

What’s Next for the Wage-Based Lottery System?

Right now, the wage-based lottery is still a proposal. The White House approved it in August, and the Department of Homeland Security (DHS) and USCIS are expected to publish the rule in the Federal Register. Once published, there will be a 30 -60 day public comment period where employers, universities, immigration attorneys, and the public can submit feedback.

After the comment period, USCIS will review feedback, possibly make revisions, and then decide whether to finalize the rule. It could also face legal or political challenges before implementation.

If the rule moves forward without delay, most experts expect it to take effect with the FY 2027 H-1B cap season, which means the March 2026 lottery would be the first to use wage-based selection. Until then, the regular random lottery process remains in place.

Why This Matters

For international students and graduates already in the U.S., the key takeaway is clear: the $100K fee does not apply to you as long as your H-1B petition is filed as a change of status while you are here. The rule primarily targets outsourcing companies and employers bringing workers from abroad.

The wage-based lottery, however, could make it harder for entry-level candidates and startups to compete, since higher salaries will carry more weight in selection.

We’ll continue to track these updates and share guidance so you can plan your immigration journey with confidence.

Best,
The Roam Growth Team 🧡