US Jobs Get More Expensive! $100,000+ H-1B Fee Proposal Explained




 For the past month, tension has filled the WhatsApp groups of every Indian student dreaming of studying in the US. The headline has been the same: "₹1 crore for a job after studies, ₹9.8 million for an H-1B." Several newspapers, including Dainik Bhaskar, have published this, raising the question: has the US really imposed such a hefty fee?

The answer is: it hasn't been imposed yet, but the proposal has certainly come, and it's more serious than ever. To understand this, we need to consider two different proposals separately.


1. The First Proposal - A Fee of $103,265 for the H-1B Visa


The H-1B visa is a visa that allows US companies to hire skilled individuals from abroad. Each year, there are 85,000 slots—65,000 for general and 20,000 for those pursuing a master's degree in the US. Until now, the government fee for this visa ranged from $2,000 to $5,000.


 The Donald Trump administration issued a temporary order in September 2025, increasing the cap directly to $100,000. This order was blocked in June 2026 by a federal judge in Boston, stating that it was not a fee but a tax that Congress did not authorize. The government has appealed this decision.


To make the same fee permanent, the US Department of Homeland Security (DHS) submitted a new proposal to the Federal Register on August 25, 2026. The fee is set at $103,265, not $100,000.


Key points of this proposal:


This fee will be imposed on every new cap-subject H-1B petition, including those with advanced degrees.


The old $100,000 provision exempted F-1 students located within the United States, but the new $103,265 proposal eliminates that exemption. This means that when a student from India switches from an F-1 to an H-1B, they too may be subject to this fee. The fee will be paid by the employer, not the student, but by the filing company. However, this fee will not be applicable to universities, non-profit research organizations, and H-1B renewals. This is not yet final. A 30-day public comment period is underway, which lasts until September 24, 2026. Only after this can it be finalized, and even then, a court challenge is certain.


If both fees—the old $100,000 announced and the new $103,000—are implemented simultaneously, a company could have to pay up to $203,265 for one employee.


2. Second Proposal - $100,000 Fee for OPT


This is more alarming because it will directly impact students. OPT stands for Optional Practical Training. It is part of the F-1 visa. After completing their studies in the US, students can work in a field related to their degree for up to 12 months. If the degree is in a STEM (Science, Technology, Engineering, Math) field, this period is extended by 24 months, for a total of 36 months. This is the period when students apply for an H-1B.


According to a July 30, 2026, report in the Wall Street Journal, the Trump administration is considering imposing a $100,000 fee (approximately ₹8.3 million to ₹1 crore, depending on the dollar rate) for using the OPT. A DHS spokesperson stated that "no policy should be considered final until formally announced." This means this is just an internal discussion, and no notice has appeared in the Federal Register. However, the White House hasn't ruled it out either.


In 2024, approximately 419,000 foreign graduates were working in the US on the OPT. Indians constitute the largest share of these—approximately 360,000 Indian students are studying in the US.


What will be its impact?


1. For companies: Google, Amazon, Microsoft, and major Wall Street firms sponsor thousands of H-1Bs each year. A fee of over $100,000 instead of $5,000 means they will now hire foreigners only for very senior or critical roles. Startups and small companies will almost certainly stop hiring.


2. For students: A year's education in the US costs $40,000 to $70,000. If they have to shell out another ₹1 crore to get a job after that, this path will be closed to most middle-class families.


3. For universities: US universities are heavily dependent on foreign student fees. If OPT becomes closed or expensive, students will migrate to Canada, the UK, Australia, and Germany. Canada has already simplified post-study work visas.


What should Indian students do now?


1. Don't make any decisions in a panic. Both proposals are not yet law. The H-1B proposal is in the comment stage, and the OPT proposal is just a report. There's a strong possibility that they will be blocked in court, as happened before.


 2. Explore cap-exempt routes. Universities, hospitals, and non-profit research labs are cap-exempt. They won't be charged this fee. If you want to go into research or academia, this route is safe.


3. Avoid Day 1 CPT. Due to uncertainty over OPT, many agents are luring you into universities with Day 1 CPT, which could be detrimental to your future H-1B and green card prospects.


4. Have a Plan B from other countries ready. The UK's Graduate Route (2 years), Canada's PGWP (up to 3 years), and Australia's Temporary Graduate Visa are still available without such hefty fees.


The US has always been divided on talent: one that considers foreign talent essential to the economy, and the other that considers it a threat to local jobs. OPT, introduced in 1992, and H-1B, introduced in 1990, are the result of this tussle.


 For students applying in 2026-27, the best strategy is to enroll, but consider funding, scholarships, and university career support more seriously than ever. And, don't pay any agents with ₹98 lakh or ₹1 crore in fees, because the government hasn't even started collecting a single rupee yet.

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