H-1B visa explained: eligibility, the weighted lottery, the $100,000 fee and costs

The short answer

The H-1B lets U.S. employers hire foreign professionals in specialty occupations that normally require at least a bachelor's degree. New cap-subject workers must be selected in an annual registration, which from the FY 2027 season is weighted by wage level, and since September 2025 a $100,000 payment applies to many new petitions for workers outside the United States. The visa is granted for up to 3 years at a time, usually to a maximum of 6.

The H-1B is the best known U.S. work visa for professionals. It is how many software engineers, doctors, financial analysts, architects, researchers and teachers start working in the United States. It is also one of the most heavily regulated visas in the system, and two major changes in late 2025 and early 2026 changed how it works for new applicants: a wage-weighted selection process and a $100,000 payment for many new petitions.

This guide explains the H-1B from the ground up: who qualifies, how the annual registration works now, what employers pay, how long the visa lasts, and the mistakes that cause delays or refusals.

What the H-1B visa is

The H-1B is a nonimmigrant (temporary) work visa for specialty occupations. A specialty occupation is a job that requires the theoretical and practical application of a body of highly specialized knowledge and, as a minimum for entry into the role, a bachelor's degree or higher in a specific field, or its equivalent.

Three features define the H-1B:

• It is employer sponsored. You cannot apply for it yourself. A U.S. employer files the petition for you, and your status is tied to that employer.
• It is dual intent. You can hold H-1B status while pursuing a green card, which is not true of many other temporary visas.
• Most new H-1Bs are numerically limited. Demand far exceeds supply, so new workers usually have to be selected in an annual registration before the employer can file.

The program also covers some Department of Defense cooperative research projects and fashion models of distinguished merit, but the specialty occupation category is by far the largest.

Who qualifies

The job must be a specialty occupation

USCIS looks at the position, not just the person. A role generally qualifies if at least one of the following is true:

• a bachelor's degree or higher in a specific specialty is normally the minimum requirement for the position;
• the degree requirement is common to the industry for similar positions;
• the employer normally requires such a degree for the position;
• the duties are so specialized and complex that the knowledge required is usually associated with a degree.

Generic degrees such as "any bachelor's degree" weaken a case. The degree should relate directly to the duties.

The worker must hold the right qualifications

The beneficiary must have one of:

• a U.S. bachelor's or higher degree in the specialty;
• a foreign degree that is equivalent to a U.S. degree in the specialty (usually shown with a credential evaluation);
• an unrestricted state license, registration or certification to practice the occupation, where one is required;
• education, specialized training and progressively responsible experience equivalent to the degree. A common rule of thumb in evaluations is three years of relevant experience for each year of missing university study.

The employer must meet labor conditions

Before filing with USCIS, the employer must obtain a certified Labor Condition Application (LCA) from the U.S. Department of Labor. In it, the employer attests that it will:

• pay at least the higher of the actual wage paid to similar employees or the prevailing wage for the occupation and location;
• provide working conditions that will not adversely affect similarly employed U.S. workers;
• not place the worker at a site where there is a strike or lockout in the occupation;
• give notice of the filing to workers at the place of employment.

The LCA wage level matters more than ever, because it now affects lottery odds.

The annual cap and who is exempt

Congress sets the number of new H-1B visas each fiscal year:

A portion of the regular cap is set aside each year for nationals of Chile and Singapore under free trade agreements (the H-1B1 classification).

Who is not counted against the cap again: workers who already held cap-subject H-1B status in the last six years and are changing employers or extending generally do not need to go through the registration again.

How the H-1B registration works now

The electronic registration

Each spring, employers (or their attorneys) submit an electronic registration for each worker they want to sponsor in a cap-subject case. The registration window usually opens in March, for jobs starting on October 1, the first day of the next fiscal year. For the FY 2027 season, registration opened on March 4, 2026, and USCIS said it would send selection notices by March 31, 2026.

Since the FY 2025 season, USCIS has run selection by unique beneficiary. A person registered by several employers is entered once, so multiple registrations no longer improve a single person's odds. The registration fee is $215 per beneficiary.

The wage-weighted selection (new from FY 2027)

The Department of Homeland Security published a final rule on December 29, 2025, effective February 27, 2026, that replaced the purely random lottery with a weighted selection. Each registration now states the highest Department of Labor wage level that the offered salary meets or exceeds for the occupation and work location, and the registration is entered in the draw a matching number of times:

Key points about the weighted system:

• Selection is still random. A Level IV registration has better odds, not a guarantee.
• It applies to both the regular cap and the advanced degree exemption.
• The details must stay consistent. The wage level, occupation and work location in the registration must match the LCA and the petition. Inflating a wage level to improve odds risks denial.
• Entry level roles are hit hardest. Graduates on their first professional salary are most likely to be at Level I.

What happens after selection

If a registration is selected, the employer has a filing window of at least 90 days, usually starting April 1, to file the full petition on Form I-129 with the certified LCA and supporting evidence. If USCIS approves the petition and the worker is abroad, the worker then applies for the H-1B visa stamp at a U.S. embassy or consulate.

The $100,000 proclamation payment

On September 19, 2025, the President issued Proclamation 10973, which restricts the entry of certain H-1B workers unless the petitioning employer pays $100,000 or the worker receives a national interest exception.

Based on the proclamation and published USCIS guidance, the payment generally applies to:

• new H-1B petitions filed for beneficiaries who are outside the United States and do not hold a valid H-1B visa.

It generally does not apply to:

• petitions requesting a change of status inside the United States (for example, from F-1 student status to H-1B);
• extensions, amendments and change of employer petitions for people already in H-1B status in the United States.

A federal district court in Washington, D.C. upheld the proclamation in December 2025, and other lawsuits were still pending at the time of writing. Because both the scope and the legal position can change, employers should confirm the current USCIS guidance on the date they file.

Why location now matters: for the same job and salary, sponsoring a candidate already in the United States in valid status can cost $100,000 less than sponsoring the same candidate from abroad.

What employers pay

Most H-1B costs fall on the employer by law. Some fees cannot be passed to the worker.

Employers must also pay the required wage from the start date in the petition, and must pay for the worker's return transportation if they end the employment before the end of the authorized period.

How long you can stay

• H-1B status is granted for up to 3 years at a time.
• It can be extended, usually to a maximum of 6 years.
• Time spent outside the United States can often be recaptured and added back.
• Extensions beyond 6 years are possible in one year or three year increments when certain green card steps are pending or approved (under the American Competitiveness in the Twenty-First Century Act).

After the 6 year limit, a worker generally must spend one year outside the United States before becoming eligible for a new H-1B period, unless an exception applies.

Changing jobs, family members and grace periods

Portability

A worker in H-1B status can start working for a new employer as soon as the new employer properly files a non-frivolous H-1B petition, without waiting for approval. Because the worker was already counted against the cap, no new registration is usually needed.

Family members (H-4)

Spouses and unmarried children under 21 can accompany the worker in H-4 status. H-4 spouses can apply for work authorization in some cases, mainly when the H-1B worker has an approved immigrant petition (Form I-140) or has been granted extensions beyond 6 years on the basis of a green card process.

The 60 day grace period

If H-1B employment ends, the worker generally has a grace period of up to 60 days, or until the end of their authorized stay if sooner, to find a new sponsor, change to another status or leave the United States.

A step by step H-1B timeline

Common mistakes that cause problems

1. Choosing a wage level that does not match the job. Under the weighted system, the registration, LCA and petition must agree. Inconsistency invites denial.
2. A degree that does not match the duties. Describe the duties clearly and show why the specific degree is needed.
3. Ignoring the proclamation when planning start dates. Bringing someone in from abroad may trigger the $100,000 payment; a change of status for someone already in the United States may not.
4. Missing the filing window after selection. A selected registration that is not followed by a timely petition is wasted.
5. Working before status allows it. Cap-subject workers changing status from F-1 usually rely on cap-gap protection; confirm the dates rather than assuming.
6. Third party worksites without documentation. If the worker will be placed at a client site, the petition must show the real work and the employer's control.

Alternatives if you are not selected

The H-1B is not the only route for professionals. Depending on your profile, an employer and attorney may consider:

• O-1: for people with extraordinary ability, with no annual cap.
• L-1: for intracompany transferees who have worked for a related company abroad for at least one continuous year in the last three.
• TN: for Canadian and Mexican professionals in listed occupations under the USMCA.
• E-3: for Australian nationals in specialty occupations, with its own annual allocation.
• H-1B1: for nationals of Chile and Singapore.
• Cap exempt employers: universities and nonprofit research organizations are not subject to the lottery.

Key facts at a glance

Frequently asked questions

Can I apply for an H-1B visa myself?

No. The H-1B is employer sponsored. A U.S. employer must register you, file a Labor Condition Application with the Department of Labor and then file Form I-129 with USCIS on your behalf.

How many H-1B visas are available each year?

The regular cap is 65,000 new H-1B visas per fiscal year, plus 20,000 more for people with a U.S. master's degree or higher. Some employers, such as universities and nonprofit research organizations, are exempt from the cap.

Who has to pay the $100,000 H-1B fee?

Under the September 19, 2025 presidential proclamation, the payment applies to new petitions for beneficiaries who are outside the United States without a valid H-1B visa, unless a national interest exception is approved. Change of status and change of employer petitions filed inside the United States are generally excluded. Check current USCIS guidance before filing, because litigation is ongoing.

How does the weighted H-1B lottery work?

From the FY 2027 registration season, each unique beneficiary is entered a number of times that matches the Department of Labor wage level of the offered salary, from one entry at Level I to four entries at Level IV. Higher paid offers have a better chance of selection, but selection is still random and not guaranteed.

How long can I stay on an H-1B?

Usually up to 6 years in total, granted in periods of up to 3 years. Extensions beyond 6 years are possible in some cases when a green card process is far enough along.

Sources

1. USCIS: H-1B Specialty Occupations (checked November 6, 2026)
2. USCIS: H-1B Electronic Registration Process (checked November 6, 2026)
3. Federal Register: Weighted Selection Process for Registrants and Petitioners Seeking To File Cap-Subject H-1B Petitions (final rule, effective February 27, 2026) (checked November 6, 2026)
4. The White House: Proclamation 10973, Restriction on Entry of Certain Nonimmigrant Workers (September 19, 2025) (checked November 6, 2026)
5. USCIS: Form G-1055, Fee Schedule (checked November 6, 2026)
6. U.S. Department of Labor: H-1B Program and Labor Condition Applications (checked November 6, 2026)

Cite this page: Daniel Brooks and Henrik Larsen, "H-1B visa explained: eligibility, the weighted lottery, the $100,000 fee and costs", Immigrantset, last checked November 6, 2026, https://immigrantset.com/visas/us-h1b-visa-explained/