Donald Trump’s administration has recently announced an annual $100,000 fee on new H-1B visa applications, effective from 21 September 2025. These H1B new rules mark a major shift in the H-1B visa programme, which has been the primary route for skilled foreign workers, including many from India, to work in the United States.
What Is An H-1B Visa?
The H-1B visa is a U.S. non-immigrant visa category created for professionals in speciality occupations that require highly specialised knowledge and at least a bachelor’s degree or its equivalent.
Key Features
- Permits employment in the U.S. for up to six years: an initial three-year period, extendable by another three years under certain conditions.
- Requires sponsorship from a U.S. employer for a role that demands a bachelor’s degree or higher in a relevant field.
- Offers dual intent, allowing holders to pursue permanent residency while on H-1B status.
- Tied specifically to the sponsoring employer and designated role.
Purpose and Fields of Work
The H-1B visa enables professionals, often in fields such as technology, engineering, education, and healthcare, to work in the United States for up to six years. It aims to fill talent gaps by allowing employers to hire highly skilled individuals from around the world when qualified American workers are unavailable.
Did You Know?
- Approximately 730,000 H-1B visa holders in the U.S., with 550,000 dependents, totalling nearly 1.3 million residents as of January 2025.
- Annual cap: 85,000 H-1B visas, allotted through a lottery system.
- Employers pay a $215 registration fee to enter the lottery; total costs range from $1,700 to $4,500 with legal fees.
The H-1B visa is crucial for U.S. employers recruiting global professionals in high-demand fields, with stringent eligibility and sponsorship requirements that balance market needs and immigration system constraints.
Key Announcements on H-1B Visa Fees
- Presidential Proclamation:
On September 19, 2025, a new proclamation introduced major reforms to the H-1B visa programme, effective September 21, 2025.
- New $100,000 Fee for New Applications
All H-1B petitions filed after 21 September must include a one-time $100,000 fee. Previous fees ranged from $2,000–$5,000 depending on employer size. Renewals and extensions remain unaffected.
- Lottery System Changes
The H-1B lottery now prioritises unique candidates rather than multiple submissions from the same person.
- Helps prevent large employers from gaming the system.
- Gives smaller firms and startups a fairer chance.
- Impact on Employers and Applicants
- Existing H-1B holders and petitions filed before 21 September are unaffected.
- The reforms aim to reduce abuse, safeguard skilled job roles, and ensure the programme fills critical skill gaps legitimately.
Why Is The US Implementing These Changes?
The new H-1B visa rules aim to ensure that U.S. employers hire candidates for roles where specialised skills are genuinely required. The introduction of the $100,000 fee encourages companies to carefully assess their hiring needs and balance opportunities between domestic and international talent.
Government officials have emphasised that the reforms seek to prioritise meaningful contributions from visa holders while promoting investment in workforce development. The focus is on ensuring that H-1B sponsorship is aligned with critical skill requirements rather than routine tasks.
While the changes primarily affect employers, international students and professionals planning to work in the U.S. should understand how the new rules influence H-1B sponsorship, lottery processes, and overall application strategy. Being aware of these updates can help in planning career steps and exploring alternative pathways if needed.
How the New H-1B Rules Affect International Graduates?
- The new $100,000 H-1B application fee may make some employers more selective in sponsorship.
- Entry-level roles may face increased competition, but opportunities still exist for motivated graduates.
- Current H-1B visa holders and extensions are unaffected, providing stability for those already in the U.S.
- International students can explore Optional Practical Training (OPT) and other visa pathways to gain work experience.
- Planning ahead and targeting employers ready to sponsor H-1B applications can help graduates achieve their U.S. career goals.
- Staying informed and adaptable ensures you can make the most of available opportunities without unnecessary stress.
Who Pays The H-1B Visa Fee?
The H-1B visa application process involves several fees, most of which are typically the responsibility of the sponsoring employer. Understanding who pays these costs helps clarify the financial aspects of obtaining this visa, including new fees introduced in 2025.
| Fee Type | Amount (USD) | Paid By | Notes |
| Electronic Registration Fee | $215 | Employer | Mandatory to enter the H-1B lottery |
| Basic Filing Fee (Form I-129) | $780 | Employer | Main petition submission |
| Fraud Prevention & Detection Fee | $500 | Employer | For new petitions or employer changes |
| ACWIA Fee | $750 – $1,500 | Employer | $750 for ≤25 employees, $1,500 for larger employers |
| Optional Premium Processing | $2,805 | Employer / Employee | For expedited processing, optional |
| New One-Time Fee | $100,000 | Employer | Applicable only to new petitions filed after 21 Sept 2025 |
| Visa Stamping / MRV Fee | $205 | Employee | Paid at U.S. consulates abroad |
| Travel & Document Preparation | Varies | Employee | Incidental personal expenses |
What Do the H-1B Extension New Rules Mean?
The new H-1B rules do not change the extension process for current visa holders. You can still extend your initial visa once, adding up to three more years, for a maximum stay of six years in the U.S.
If you have started the green card process, either with an approved I-140 or a pending labour certification, you may apply for additional one-year extensions until permanent residency is granted.
Extensions require filing updated petitions with a new Labour Condition Application (LCA) and supporting documents. These changes only apply to new applicants; existing H-1B holders can follow the standard extension process without modification.
Wrapping Up!
The $100,000 H-1B application fee marks a significant shift in U.S. visa policy, prioritising highly skilled workers. While this raises the entry barrier for new applicants, current visa holders and those with existing visas remain unaffected. For international students, the path may look different, but opportunities still exist with early preparation, smart academic choices, and the right guidance.
At UniScholars, our counsellors help students like you navigate university applications, scholarships, and visa planning, so you can continue your U.S. study journey with confidence.
FAQs
Q1: What is the new fee for H-1B visa applications starting in 2025?
Ans: A one-time $100,000 fee applies to all new H-1B visa petitions filed on or after September 21, 2025. The sponsoring employer pays this fee and does not apply to visa renewals or extensions.
Q2: Who is affected by the new H-1B visa fee?
Ans: The new H-1B visa rules apply to applicants who filed after the effective date and need to pay the fee. Current visa holders and petitions filed before September 21, 2025, are not affected.
Q3: How does the new lottery system for H-1B visas work?
Ans: The lottery system now prioritises unique candidates, regardless of multiple job offers or registrations from different employers, providing fairer access to smaller companies and startups.
Q4: Are employers still responsible for most H-1B visa fees?
Ans: Yes, employers pay most mandatory fees, including the new $100,000 charge, registration fees, filing fees, and possible premium processing costs.
Q5: What is the purpose of these new H-1B visa reforms?
Ans: The changes aim to protect American jobs by encouraging local hiring and investment in U.S. graduates, while also preventing abuse of the visa program and focusing on highly skilled workers with higher salaries.
Q6: Do these changes affect international students currently studying in the USA?
Ans: Current students are unaffected by the new H1B rules directly, but the changes may influence future employment sponsorship. Options like Optional Practical Training (OPT) and other visa pathways remain available.
Q7: How long is the proclamation imposing the new fee effective?
Ans: The proclamation is effective for 12 months from September 21, 2025, but it may be extended or modified based on policy developments.
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