H-1B visa fee increase to $100,000

Restriction on Entry of Certain Nonimmigrant Workers: Key Changes Proposed

In September 2025, the White House issued a Presidential Proclamation titled “Restriction on Entry of Certain Nonimmigrant Workers” declaring that new H-1B petitions filed from September 21 must pay a mandatory $100,000.

The US Citizenship and Immigration Services (USCIS) subsequently confirmed that this fee increase will apply to the 2026 H-1B lottery and all subsequent filings.

The proclamation also suggested other changes ,including:

• DOL prevailing wage adjustments, which could lead to an increase in the minimum salaries that employers have to pay H-1B workers.
• DHS lottery prioritization, which could favor higher-paid or roles with a “national interest” in H-1B selection.

The implementation of the changes now needs to go through the following steps:

1. Presidential Proclamation – the immediate executive action.
2. Agency Guidance – USCIS, the Department of State (DoS), and Customs and Border Protection (CBP) will issue interim instructions.
3. Federal Register Rulemaking – when the proposed rules will be published, closely followed by a public comments period, before the final adoption of the proclamation.

It is expected that immigration counsel will face challenges, but for now, the $100k fee is binding on all new petitions.

Who’s Affected by the Fee Increase?

The fee increase will have specific implications for those applying after the cut-off date, who will face higher fees. However, existing visa holders, renewals, and petitions that were filed before the effective date will be exempt from the changes. 

It is expected that cap-exempt employers such as universities, research institutions and nonprofits will continue to be unaffected. 

Who Pays and When?

There will be different rules regarding the amount of fees, depending on the reason for applying or renewing an H1-B visa. 

Exceptions & National Interest Exemption

The recent proclamation grants the Secretary of Homeland Security the authority to grant exemptions “in the national interest”. This may include: 

• Healthcare workers required to address shortages.
• Researchers on projects funded federally.
• Highly specialized technology professionals

It is expected that such exemptions will be rare and decided on a case-by-case basis.

Impact on Employers

For US businesses, the H-1B visa cost increase is likely to have a considerable financial impact and may lead to changes in hiring strategies.

Financial impact

For employers, the change in visa fees means:

• One H-1B hire will be $100,000 + $2,500 (USCIS fees) + $3,000–$6,000 (legal fees).
• Ten hires account for over $1 million upfront.
• One hundred hires will be over $10 million.

These costs are unlikely to be manageable for startups and small to medium-sized businesses without external funding or significant business restructuring.

Operational & HR Challenges

Challenges to operations and HR include hiring freezes and delayed recruitment cycles, which may result in many organizations temporarily suspending new H-1B hiring or delaying international recruitment. In particular, tech companies, the healthcare sector, and the research sectors rely heavily on foreign specialists. 

There could be a reallocation of roles to US workers, with employers filing positions with US citizens to avoid the higher fees. US talent shortages already exist, so in some fields, innovation may continue at a slower rate.

Companies may consider outsourcing to reduce costs, with some opting for offshore contracting or more remote work arrangements. This ensures global skills can still be accessed; however, it may complicate compliance with international employment laws.

Tighter budget and finance controls could mean HR and finance departments impose stricter approval processes for international hires. While larger businesses may not find it difficult to impose additional financial barriers, they can be challenging for smaller firms and startups. 

Legal & Compliance Risks

Employers must:

• Ensure the fee is paid by the company, not the employee, to ensure it’s lawful.
• Retain proof of payment for audits.
• Update corporate policies to manage compliance risk.

Impact on Applicants & Renewals

For all foreign nationals, the H-1B visa application fee increase has introduced new uncertainties and complications, including:

• Travel implications for applicants who are abroad may encounter processing delays as Customs and Border Protection (CBP) update its procedures. It is advisable to avoid non-essential travel until USCIS and the State Department release further guidance.
• For renewals and extensions, USCIS has confirmed that the new fee does not apply to renewals or extensions submitted before the deadline. However, you should keep proof of timely submission, as petitions filed after the deadline may be subject to the new rule.
• As for employee rights and next steps for any applications, if you are affected, you should discuss your options with your employer and a legal counsel. Options that might apply to you include negotiating a relocation to US-based roles, exploring other visa categories, or applying for a national interest exemption. 

What This Means for Immigrants & Workers

The H-1B visa could lead to disruption, especially for families and graduating students, as employers may rescind roles due to additional costs. 

Checklist for Beneficiaries

• Stay in contact with your employer’s immigration counsel.
• Regularly monitor USCIS announcements.
• Explore your other visa options (O-1, L-1, TN, etc.).
• Keep a clear record of your immigration status and gather all necessary supporting documents
• Consider applying for permanent residency if eligible.

Support for your visa options can be found through:

• University International Student Services (ISS) offices.
• US consulates abroad.
• Immigration law firms and accredited advisers, such as IAS.

Impact on the Economy & Key Sectors

The $100k H-1B visa cost rise is likely to impact major US industries, such as:

• Technology: Indian IT companies have already seen share price dips following the announcement.
• Healthcare: Hospitals are warning of worsening staffing shortages, which could result in exemptions being made to address this issue.
• Academia & research: International postdocs and scholars may decline US offers.
• Startup companies and businesses: High-growth firms often face hiring bottlenecks and may consider relocating overseas.

The impact of the H-1B visa fee increase will likely vary across the US depending on company size, financial resources, and their reliance on international talent. 

Compliance, Payments & Enforcement

Employers must pay the fee via standard USCIS payment methods listed on Form G-1055, which include check, money order, or credit/debit card (with transaction limits).

Proof of payment must be attached to the petition, as CBP and consular officers will deny entry to the US if the payment cannot be verified.

Employers should also consider board resolutions and finance approvals to demonstrate their compliance with this latest policy.

Alternatives & Risk Mitigation Strategies

To look at alternatives, employers and workers can explore options such as:

• Hiring US workers or expanding domestic recruitment.
• Remote work abroad, keeping foreign employees outside the US
• Other visa categories: O-1 for extraordinary ability, L-1 for intracompany transfers, TN for Canadian/Mexican professionals.
• Cap-exempt filings with universities or nonprofit institutions.
• National interest exemptions may apply but they are thought to be rare.

Compare New H-1B Fees with Other Visa Fees

International Comparison

In most cases, the US fee is exponentially higher than comparable programs in peer economies when comparing equivalent visa fees across different countries, including the new H-1B visa.

How Can Our Lawyers at IAS Help You?

Contacting our specialist immigration lawyers at IAS can save you time and money. Understanding the legal routes available to you for the US can be challenging and might result in delays or even a rejection of your application. It is also essential to stay informed about all the latest updates. 

We offer a wide range of services and immigration specialists who can ensure you understand the complete eligibility requirements and criteria of the work permit you qualify for.

Our team at IAS understands the importance of the application and that it might be essential to your move, whether temporary or permanent, to the US. We will work with you to make each step of the process easier. Contact us today by calling +1 844 290 6312.