Every H-1B Policy Change Under Trump (2025–2026): $100K Fee, Wage Lottery, and What's Coming Next

A Complete Guide to Every H-1B Change Since January 2025

The Trump administration has enacted the most sweeping changes to the H-1B visa program in its 35-year history. In just over a year, a combination of executive orders, regulatory changes, and fee increases has fundamentally reshaped who can realistically pursue an H-1B visa, how much it costs, and how the selection process works.

This is a comprehensive, fact-based tracker of every major policy change — what was enacted, when it took effect, who it affects, and what legal challenges are underway.

1. The $100,000 Supplemental Filing Fee

This is the single most impactful change to the H-1B program in decades.

What Happened

On September 19, 2025, President Trump signed a proclamation imposing a $100,000 supplemental fee on new H-1B petitions where the beneficiary is outside the United States at the time of filing.

Key Details

Who Must Pay

Any employer filing a new H-1B petition for a worker currently outside the US — including cap-exempt employers like universities and nonprofit research organizations

IT outsourcing and consulting firms filing for overseas workers

Companies sponsoring workers through consular processing who have not yet entered the US

Who Is Exempt

F-1 OPT students currently in the US — this is the most important exemption, as F-1 students on OPT or STEM OPT are physically present and their petitions do not trigger the fee

H-1B workers already in the US with petitions filed before September 21, 2025

H-1B extensions and amendments for workers already in H-1B status

A narrow "national interest exception" covering national security, critical infrastructure, and public health roles (very rarely granted)

Who Cannot Get an Exemption

Cap-exempt employers (universities, nonprofits) are NOT exempt if the beneficiary is abroad — this surprised many in higher education

H-1B transfers where the beneficiary left the US before the new petition is filed

Workers on other visa types (L-1, O-1) switching to H-1B if they left the country

Impact

The $100K fee is the primary driver of the ~30–40% decline in FY2027 H-1B registrations. It has effectively ended the practice of offshore staffing firms filing thousands of H-1B petitions for overseas workers. The economics only work for genuinely high-value roles where the employer is willing to absorb a $100K+ total filing cost.

Legal Challenges

Multiple lawsuits are challenging the fee:

US Chamber of Commerce filed suit arguing the fee exceeds presidential authority

Association of American Universities (AAU) challenged the burden on research institutions

20 state attorneys general led by California filed a separate challenge

A federal judge upheld the fee in December 2025, ruling the president has broad authority over immigration

Appeals are pending in multiple circuits — a circuit court ruling could come by mid-2026

If the fee is struck down, it would likely not be retroactive — employers who already paid would not get refunds, but future petitions would not require it.

2. Wage-Weighted Lottery Selection

What Changed

DHS published a final rule (effective February 27, 2026) replacing the random H-1B lottery with a wage-weighted selection system. This was the first major structural change to the H-1B selection process since the beneficiary-centric model was adopted in FY2025.

How It Works

Each H-1B registration receives virtual entries based on the position's prevailing wage level:

Winners and Losers

Winners:

Senior professionals, specialized engineers, experienced scientists

FAANG and major tech companies that already pay above median

Finance, healthcare, and consulting firms offering competitive wages

F-1 students hired into high-paying positions

Losers:

Entry-level positions and new graduates (unless at high-paying employers)

IT staffing and consulting firms that historically sponsored at Level I and Level II wages

Companies in lower cost-of-living areas where prevailing wages are lower

Smaller employers competing against large firms for the same talent

Political Context

The wage-weighted system was first proposed during Trump's first term but was never finalized. The current administration pushed it through as part of a broader strategy to shift the H-1B program toward higher-skilled, higher-paid workers. Critics argue it discriminates against younger workers and geographic regions with lower costs of living. Supporters say it ensures H-1B visas go to workers who are genuinely filling high-value roles.

3. Registration Fee: From $10 to $215

What Changed

The H-1B electronic registration fee increased from $10 to $215 per registration — a 2,050% increase. This took effect for the FY2026 cap season and continues for FY2027.

Why It Matters

At $10, registering workers was essentially free. Companies could register dozens or hundreds of workers speculatively with minimal cost. At $215, employers are more selective, registering only workers they genuinely intend to hire if selected.

The fee itself is modest compared to total H-1B filing costs (which can run $5,000–$15,000+ per petition), but it adds up for companies that previously filed hundreds of registrations. A company that used to register 500 workers at $5,000 total now pays $107,500 just for registration — before any petitions are filed.

4. The 60-Day Grace Period Under Threat

Current Rules

H-1B holders who are terminated get a 60-calendar-day grace period to find new employment, change to another visa status, or leave the US. This grace period was codified in 2017 regulations and has been a critical safety net for H-1B workers caught in layoffs.

What's Changing

The grace period itself has not been formally shortened, but the administration has taken several actions that undermine its reliability:

Notices to Appear (NTAs): Reports have surfaced of DHS issuing Notices to Appear (the first step in deportation proceedings) to H-1B holders during the 60-day grace period — before it has expired. While USCIS has not officially changed the grace period policy, these NTAs create legal jeopardy for workers who believed they had 60 days to find new sponsorship.

Transfer denials during grace period: Immigration attorneys report increased denial rates for H-1B transfer petitions filed in the latter half of the grace period (days 30–60). While there is no published policy change, adjudicators appear to be applying stricter scrutiny to last-minute transfers.

Discretionary nature: The 60-day grace period is a regulatory provision, not a statutory right. DHS can modify or eliminate it through rulemaking at any time without congressional approval. The administration has signaled interest in tightening it, though no formal rule has been proposed.

What This Means for H-1B Workers

If you are laid off on an H-1B:

Start your job search immediately — do not wait until the end of the grace period

File transfer petitions as early as possible — petitions filed in the first 30 days appear to have better outcomes

Do NOT travel internationally during the grace period — re-entry is not guaranteed

Consider filing a change of status to B-2 (visitor visa) as a backup if you cannot find new H-1B sponsorship within 60 days

Consult an immigration attorney immediately — the landscape is shifting and individual circumstances vary

5. Enhanced Scrutiny and Fraud Detection

AI-Powered Detection

USCIS has deployed artificial intelligence tools to flag anomalous registration and petition patterns. While the agency has not disclosed technical details, immigration attorneys report that the following are being flagged:

Shell company registrations (companies with no real business operations filing H-1B petitions)

Unusual wage-to-job-title combinations (e.g., "Senior Software Engineer" at Level I wages)

Coordinated filing patterns (multiple companies at the same address filing for the same types of workers)

Discrepancies between LCA data and petition claims

Stricter Specialty Occupation Standards

USCIS is applying heightened scrutiny to whether positions genuinely qualify as "specialty occupations" requiring a bachelor's degree or higher in a specific field. Positions with broad job descriptions or where the connection between the degree requirement and the actual work is tenuous are seeing more Requests for Evidence (RFEs) and denials.

Social Media Vetting

The administration has expanded social media vetting of visa applicants. While primarily applied at the consular interview stage, H-1B petitioners should be aware that their online presence may be reviewed as part of the adjudication process.

6. What's Coming Next

Potential Changes in 2026–2027

$100K fee renewal or expansion: The current fee expires September 21, 2026. The administration is widely expected to renew it — potentially at a higher amount or with broader applicability.

Further tightening of specialty occupation definitions: Proposed rulemaking could narrow which positions qualify as specialty occupations, potentially excluding roles where multiple degree fields could qualify.

H-4 EAD restrictions: The administration has signaled interest in revisiting the H-4 EAD (Employment Authorization Document) program that allows spouses of certain H-1B holders to work. While no formal rule has been proposed, this remains a possibility.

Prevailing wage methodology changes: Changes to how prevailing wages are calculated could further increase the wage levels required for H-1B positions, potentially pushing more roles into higher wage tiers under the weighted lottery.

Cost Comparison: H-1B Filing in 2024 vs. 2026

Applies only to beneficiaries outside the US at time of filing

The cost differential between sponsoring an overseas worker versus a US-based worker is now roughly $100,000. This single fact explains most of the structural changes in the H-1B program.

The Bottom Line

The Trump administration has executed a deliberate, multi-pronged strategy to reshape the H-1B program: make it more expensive, reward higher wages, penalize overseas hiring, and increase enforcement. Whether you view these changes as necessary reform or harmful restriction depends on your position in the ecosystem.

What is undeniable is the impact. Registration volumes have cratered, the applicant pool has shifted dramatically toward US-based workers, and the economics of H-1B sponsorship have been fundamentally altered. For H-1B workers and employers, understanding these changes is not optional — it is essential for navigating the system as it exists today.

Data sourced from White House proclamations, USCIS official announcements, CNN, American Immigration Council, CDF Labor Law, Greenberg Traurig, Lighthouse HQ, and federal court filings. Updated April 2026.