The Trump administration is proposing a new $103,265 fee on employers seeking H-1B workers through the annual visa lottery, with the Department of Homeland Security (DHS) publishing a proposed rule in the Federal Register that would apply the new fee to H-1B petitions subject to the annual 85,000-visa cap, including the 20,000 visas reserved for foreign workers holding qualifying U.S. master’s degrees or higher. DHS will accept public comments for 30 days following publication before determining whether to issue a final rule.
What changed
The proposed $103,265 charge would be paid in addition to existing H-1B filing fees. This represents a dramatic increase from current costs: employers have typically paid around $2,000 to $5,000 in government fees for an H-1B application.
The proposal would not apply to cap-exempt H-1B petitions, including many positions at universities and nonprofit or government research institutions.
The proposed fee is distinct from a 2025 Trump executive order that imposed a $100,000 charge on certain overseas H-1B hires but was later struck down in federal court; DHS said the new $103,265 fee relies on different legal authority and that the executive order is due to expire in September unless extended.
According to DHS, the proposed fee is intended to generate revenue to help fund the broader lawful immigration system across multiple federal agencies.
Why it matters
This proposed fee represents a fundamental shift in H-1B program economics. Employers currently budgeting for H-1B sponsorship must now account for the possibility of adding $103,265 per cap-subject petition filed—a cost that will flow directly to employers, as under current H-1B rules, employers pay the application fees on behalf of workers.
The proposal builds on a broader Trump administration overhaul of the H-1B visa program, with recent changes including replacing the traditional lottery with a weighted selection system favoring higher-salary applicants, and proposing to eliminate the grace period for laid-off H-1B workers.
The comment period is your window to present evidence and arguments about the fee’s impact. If finalized, the rule could apply to H-1B cap registrations in the 2027 fiscal year lottery, depending on the timeline.
Way forward
- Monitor the comment period. Public comments will be accepted for 30 days following publication; if you represent employers or industry groups, prepare substantive comments addressing the fee’s legal authority, economic impact, and policy rationale.
- Review cap-exempt alternatives. If your client is a university, nonprofit research institution, or government agency, confirm whether your H-1B petitions qualify for the cap-exempt pathway, which would avoid this fee.
- Plan for cost scenarios. Model the impact of a $103,265 cost per cap-subject H-1B petition against your client’s hiring and retention strategy. This may affect decisions about when to file and which positions to prioritize.
- Watch for judicial challenges. Given that the prior $100,000 fee was struck down in court, anticipate that if this rule is finalized, litigation will likely follow; legal challenges may provide a stay or injunction pending appeal.
Disclaimer
This article is provided for informational purposes by Fola Form, a software company—not a law firm. It is not legal advice. Immigration policy can change without notice, and regulatory timelines are subject to delay or reversal. Always verify current requirements against the primary source materials linked above and consult a licensed immigration attorney before making filing decisions.