H-1B Visa Explained: Cap, Lottery, Fees and the $100,000 Rule

You've got the skills, maybe even a US job offer, and everyone keeps telling you the H-1B is the way in. They're not wrong. It's still the main US work visa for degree-level professionals.

It's also changed more since 2025 than in the previous twenty years. The lottery isn't purely random any more, there's a $100,000 payment tied up in court, and a new fee of over $100,000 has been proposed on top.

This guide walks you through what the H-1B is, how the cap and the new lottery work, what it costs and who pays, and where those big fees stand. It reflects official sources as of mid-October 2026. Several pieces are still moving, so check the USCIS pages linked at the end before you act on any detail.

What an H-1B visa is

The H-1B is a temporary work visa that lets a US employer hire a foreign worker in a "specialty occupation". USCIS means a job that needs specialised knowledge and normally at least a bachelor's degree in a directly related field.

Typical H-1B jobs are in software, data, accounting, engineering, medicine and university teaching. A foreign degree counts if it's evaluated as equivalent to a US one, and so can a mix of education and experience.

Three things shape everything else about it:

• The employer drives it. You can't apply on your own.
• It's tied to that employer. Changing jobs means a new petition, though you can often start once it's filed.
• It's temporary. Usually three years at a time, six in total.

It also allows what's called dual intent: you can apply for a green card while you hold it. That's a big part of why so many people want one.

The annual cap

Congress limits new H-1Bs to 65,000 a year, plus another 20,000 for people with a US master's degree or higher. A master's from outside the US doesn't count towards the extra 20,000.

For fiscal year (FY) 2027, which starts on 1 October 2026, USCIS says it already has enough petitions to fill both caps. If you weren't picked, you'll have to wait for the next registration season or look at employers who don't need the lottery at all.

Not every H-1B counts against the cap. If you've already been counted, changing employer or extending usually means no lottery.

How the lottery works now

For cap-subject jobs, your employer first registers you online. For the FY 2027 cap, registration ran from noon Eastern on 4 March to 5 p.m. Eastern on 19 March 2026, and cost $215 per person.

The big change is how USCIS picks winners. A Department of Homeland Security (DHS) rule published on 29 December 2025, effective 27 February 2026, replaced the plain random draw with weighted selection. You're entered according to the Department of Labor wage level your offered salary reaches for that job and city:

The wage levels come from a Bureau of Labor Statistics survey and vary by job and location. The same $95,000 salary might be level II in New York and level III in a smaller city. Your employer can look yours up with the Department of Labor's wage search tools.

What that means for you: entry-level candidates can still be picked, but their odds are lower than before. And the level has to be real. The employer has to back up that wage level in the petition later, so registering at a level that doesn't match the actual offer causes trouble.

The H-1B process, step by step

1. You get a job offer for a specialty-occupation role from a US employer.
2. Your employer registers you in March, if the job is cap-subject. Cap-exempt employers skip this.
3. USCIS runs the selection and tells employers, usually by the end of March.
4. Your employer files a Labor Condition Application (LCA) with the Department of Labor, promising to pay at least the higher of the actual or prevailing wage.
5. Your employer files Form I-129 with USCIS, with evidence and fees. Cap petitions can usually go in from 1 April.
6. You get the visa or a change of status. From abroad, you apply at a US embassy or consulate. If you're already in the US in another status, the petition can ask to switch you.
7. You start work. For cap cases, the earliest start date is 1 October.

So if you're picked in March, you're typically starting in October. Plan your notice period and your move around that.

What happened to the $100,000 payment

A presidential proclamation in September 2025 required a $100,000 payment for certain new H-1B petitions filed after 12:01 a.m. Eastern on 21 September 2025. It didn't touch existing visas or earlier petitions.

Then the courts stepped in. On 8 June 2026, a federal district court in Massachusetts vacated the guidance that put the payment into effect. On 24 July 2026, the First Circuit Court of Appeals refused the government's request to pause that ruling. USCIS says DHS disagrees but is complying while it decides what to do next, and still plans to collect the payment if the order is lifted.

The fight didn't end there. On 18 September 2026, the President signed Proclamation 11069, extending the $100,000 requirement for another year, to 21 September 2027. Then on 30 September 2026, a federal district court in California barred USCIS, the State Department and border officials from enforcing the payment, including under the extension, unless they first go through formal rulemaking. The proclamations themselves still stand. So as of mid-October 2026, the payment isn't being collected, but the legal fight is far from over.

Separately, on 25 August 2026, DHS proposed a $103,265 fee on all cap-subject H-1B petitions, master's cap included, on top of every other fee. The comment period closed on 24 September 2026. As of mid-October we couldn't find a final rule, and the fee only takes effect if DHS issues one.

What an H-1B costs, and who pays

These amounts come from the USCIS fee schedule (edition dated 7 October 2026). Most fall on the employer, and some have to by law.

The Department of Labor's Fact Sheet 62H is clear that your employer can't make you pay the ACWIA fee or the $500 fraud fee. Lawyer fees and other costs of the LCA and petition are business expenses, and they can't be taken out of your pay if that would drop you below the required wage.

The money side once you land

Your pay has to meet the wage on the LCA. Salaries swing a lot by field and city, so check your offer against the Department of Labor's wage data for your job and location. For examples, see our guide to the highest-paying jobs in the USA.

Then budget for the move itself: flights, a rental deposit plus the first month's rent, and enough to live on until your first paycheque. Most H-1B employers offer health insurance, but check what it covers for your family before you sign. Open a US bank account early, get your Social Security number, and compare the full cost of sending money home. Most H-1B workers become US tax residents, which means the US taxes your worldwide income, so learn how that works before your first tax season.

Employers who skip the lottery

Some employers aren't subject to the cap at all, so they can file for you in any month:

• US colleges and universities
• nonprofits affiliated with a university, such as teaching hospitals
• nonprofit research organisations
• government research organisations

If you missed out in the lottery, a cap-exempt job is a genuine way in. Healthcare and research are the usual examples, and our guide to high-paying healthcare jobs in the USA covers one sector where these employers hire a lot. One catch: if you later move to a cap-subject employer, you may have to go through selection then.

Family, time limits and the green card

Your spouse and unmarried children under 21 can join you in H-4 status. H-4 on its own doesn't let them work. A spouse can get work permission in limited cases, for example once you have an approved Form I-140 immigrant petition.

USCIS usually grants three years at a time, up to six in total. You can go beyond six if your green card case has reached certain stages. If you want to stay for good, raise the green card with your employer early. Our guide to EB visas ranked by difficulty explains the options.

Scams to avoid

• Paying for an H-1B job offer. Real sponsors don't sell jobs, and they have to pay the key fees themselves.
• "Guaranteed selection". It's a weighted draw. Nobody can buy you extra entries.
• Being benched without pay. An H-1B employer generally has to keep paying the required wage even when there's no work for you.
• Fake registration websites. Your employer registers you through its own USCIS online account. There's no separate site for you to pay.

Your H-1B checklist

• Check that your degree fits a specialty occupation, and get a credential evaluation if it's from abroad.
• Target employers that already sponsor H-1Bs, including cap-exempt universities and research institutes.
• If you have an offer, ask which wage level they'll register and who pays each fee.
• Keep an eye on the USCIS H-1B FAQ and the Federal Register for news on the $100,000 payment and the proposed fee.
• Plan for the next registration window, usually in March.

The H-1B is still a real door for skilled professionals. It's just harder to get through than it used to be, so go in with accurate information, a backup plan and a clear sense of your rights.