F-1 to H-1B transitions to be exempt from $100K fee

US Customs and Immigration Services (USCIS) confirmed that the fee would not apply to a “change of status” including F-1 students switching to H-1B skilled worker visas, in new guidance issued October 20. 

The notice relates to the government’s September 19 proclamation hiking the H-1B visa fee to $100,000, which shocked employers and prospective workers, causing confusion about whether the fee would apply to H-1B visa holders currently outside the US.  

Yesterday’s clarification said the fee would only apply to new H-1B petitions for people outside the US filed on or after September 21, 2025. 

Notably, those seeking an extension, amendment or change of status will not be subject to the fee, as long as the amendment, change or extension is granted by USCIS. A change of employer petition is also exempt from the proclamation, the government explained. 

For those continuing H-1B employment with the same employer, the $100,000 fee would depend on whether the petition is filed with an extension of stay request or a consular notification, said Fragomen law firm, unpacking all the details.

The Proclamation does not apply to a petition… that is requesting an amendment, change of status, or extension of stay for an alien inside the United States

USCIS

Individuals who are already in the US with approved H-1B applications will not become subject to the fee if they travel abroad, USCIS confirmed, dispelling early uncertainty around the issue.  

International education leaders have been among many opposing the fee hike, voicing concerns that it would reduce global talent flows to the US, causing severe labour shortages and long-term setbacks for scientific research and academia.  

Previously, employers typically paid $2,000-$5,000 for H-1B visa applications, with the eyewatering increase alarming global businesses such as Amazon, which is the country’s largest H-1B employer.  

Last week, the US chamber of commerce announced it would sue the Trump administration over the new fee, claiming its implementation exceeded the President’s authority under the constitution.  

This adds to an existing legal challenge launched by a coalition of labour unions, healthcare providers, academic groups and religious organisations on October 3, that also made the case for the illegality of the fee and its “catastrophic” potential damages.

The new guidance will provide relief for employers and international students in the US, many of whom aim to transition to Optional Practical Training (OPT) – where they remain in F-1 status – and H-1B employment opportunities.  

At the same time, employers, students and immigration advisers are keeping a close eye on government plans to overhaul the H-1B system to favour higher-skilled and better-paid workers, with the proposals under public consultation until October 24.  

Critics have said the changes would reduce the number of international job entrants and harm US companies’ ability to grow.  

In a recent NAFSA survey, over half (53%) of postgraduate students said they would not have enrolled at US institutions in the first place if access to H-1B was determined by wage levels, as the administration has proposed.   

A similar proportion of PhD students currently likely to stay in the US said they would be unlikely to do so if the H-1B visa was overhauled in favour of higher wage earners.   

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