DHS Unveils Proposed $103,265 Fee for New H-1B Visa Petitions
DHS has proposed a $103,265 fee on all cap-subject H-1B petitions, projected to raise about $8.8 billion a year; the rule is not yet final and would not apply to cap-exempt employers like universities and nonprofit research institutions.
What's Being Proposed
The Department of Homeland Security has published a notice of proposed rulemaking that would add a $103,265 fee to every H-1B petition subject to the annual numerical cap, including petitions that qualify for the advanced-degree exemption. If finalized, the fee would be due at filing and would stack on top of every other USCIS fee already required for an H-1B petition.
Why DHS Says It's Needed
According to the notice, the revenue would help cover the federal government's broader costs of running the legal immigration system — including adjudicating petitions, screening for fraud and national-security risks, modernizing systems, records and fee-collection operations, immigration court operations, consular visa processing, labor standards enforcement, and interagency coordination. DHS projects the fee could generate roughly $8.8 billion a year, based on an estimated 85,000 cap-subject H-1B petitions annually. USCIS spokesperson Zach Kahler said the fee is intended to recover costs that "otherwise must be funded by taxpayers."
Who Is — and Isn't — Affected
The new fee would apply only to petitions counted against the H-1B cap: the 65,000 regular slots plus the 20,000 reserved for applicants with a master's degree or higher from a U.S. institution. Petitions filed by nonprofit research organizations, governmental research organizations, and institutions of higher education — which are exempt from the cap altogether — would not be subject to the fee.
What It Means for Applicants and Employers
A fee north of $100,000 per petition would be a major cost increase layered onto a process that is already expensive and highly competitive, and it would likely fall hardest on smaller employers and startups sponsoring H-1B workers, who may find it harder to compete with larger firms for the limited cap allocation. Because this is a proposal rather than a final rule, it is not yet in effect — DHS still has to complete the rulemaking process, which typically includes a public comment period, before any fee could take effect. Applicants and employers preparing for the next H-1B cap season should track the final rule and its effective date rather than assume the fee already applies. Cap-exempt pathways, such as those through universities and nonprofit or government research institutions, would remain unaffected if the rule is adopted as proposed.
Source
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